CFTC commitment of traders report review (FX)

CFTC commitment of traders report was released on Friday (20th October) and cover positions up to Tuesday (23rd October). COT report is not a complete presenter of entire market positions, since future market is relatively smaller compared to Spot FX market. Nevertheless, it presents crucial picture on how key participants are looking at future moves.

Kindly note figures are rounded to next decimal.

Key highlights

Market participants are net short on all currencies against dollar except for New Zealand Dollar, Pound and Franc.

Participants decreased net long position in US dollar by $5.97 billion to $13.09 billion.

Shorts increased

• Australian Dollar registered largest and only increase in net shorts, where shorts were increased by $0.35 billion to -$2.79 billion.

Shorts covered

• Euro registered largest short covering by $2.59 billion to -$8.87 billion.
• Pound registered second largest decline in shorts by $1.445 billion to +$0.73 billion.
• Yen registered third largest decline in shorts by $1.06 billion to -$0.38 billion.
• Canadian Dollar shorts declined by $0.515 billion to -$2.09 billion.
• Swiss Franc shorts were reduced by $0.39 billion to +$82 million.
• Mexican Peso shorts were reduced by 0.11 billion to -$19 million.

Long Increased

• New Zealand Dollar longs were increased by $0.21 billion to +$0.25 billion.