Latest Commitment of Traders positions (FX) as of October 18th, 2016

CFTC commitment of traders report was released on Friday (21st October) and cover positions up to Tuesday (18th October). COT report is not a complete presenter of entire market positions since the future market is relatively smaller compared to Spot FX market. Nevertheless, it presents crucial picture on how key participants are looking at future moves.

Key highlights:

Market participants are net short in all currencies against the dollar, except for the Japanese yen, and the Australian dollar.

Shorts increased:

• The euro registered the biggest increase in net short positions among its peers last week. The net-short positions increased by 15,796 contracts to -109.3K contracts.
• The Swiss franc shorts were increased by 6,969 contracts to -16.4K contracts.
• The Canadian dollar shorts were increased by 2,594 contracts to -14.3K contracts.

Shorts decreased:

• The Mexican peso registered the biggest decrease in the net short positions for second consecutive week and by 21,073 contracts to -30.7K contracts.
• The net shorts in British pound declined by 3,912 contracts to -91.6K contracts.
• The New Zealand dollar shorts declined marginally by 7,583 contracts to -0.1K contracts.

Longs increased:

• The Australian dollar is the only counter where longs increased and by 3,876 contracts to +30K contracts.

Longs decreased:

• The Japanese yen suffered the biggest decrease in longs among its peers last week and the net longs were decreased sharply by 8,918 contracts to 37K contracts.