Latest Commitment of Traders positions (FX) as at October 2nd 2018

CFTC commitment of traders report was released on Friday (5th October) and cover positions up to Tuesday (2nd October). COT report is not a complete presenter of entire market positions since the future market is relatively smaller compared to the spot FX market. Nevertheless, it presents a crucial picture of how key participants are looking at future moves.

Key highlights:

Market participants are net short in all currencies against the dollar except the Mexican peso.

Short positions decreased:

• The short positions in the Swiss franc declined for the sixth consecutive week, and by 2,681 contracts to -13.4K contracts.
• The short positions in the Canadian dollar declined for the second consecutive week, and by 1,048 contracts to -18.5K contracts.
• The short positions in the British pound sterling declined last week by 7,738 contracts to -59.3K contracts.
• The short positions in the New Zealand dollar declined for the second consecutive week and by 1,239 contracts to -30.6K contracts.
• The short positions in the Australian dollar declined for the first time in four weeks and marginally by 343 contracts to -71.7K contracts.

Short positions increased:

• The short positions in the Japanese yen rose for the 5th time in 10 weeks and by 29,327 contracts to -114K contracts.

Long positions increased:

• The long positions in the Mexican Peso rose for the fourth consecutive week and by 22,431 contracts to +73.8K contracts.

Position shifted from long to short:

• The net short position increased in such a fashion by 10,797 contracts that the net position shifted from long to short -7.1K contracts.