Latest Commitment of Traders positions (FX) as of September 27th, 2016

CFTC commitment of traders report was released on Friday (30th September) and cover positions up to Tuesday (27th September). 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 sterling registered the biggest increase in net short positions among its peers this week. The net-short positions increased by 29,028 contracts to -87.7K contracts.

Shorts decreased:

• The net short in the euro declined by 8,995 contracts to -76K contracts.
• After a big increase last week, Peso saw marginal short covering where net shorts declined by 3,469 contracts to -85.9K contracts.
• The New Zealand dollar net shorts declined by 1,123 contracts to -6.8K contracts.

Longs increased:

• The Japanese yen registered the biggest increase in the net-long positions this week and it increased by 10,107 contracts to +68.9K contracts.
• The Australian dollar longs were increased by 8,160 contracts to +15K contracts.

Position shifted from long to short:

• The Canadian dollar net shorts increased by 27,918 contracts and thus shifting the net position from long to short.  The net short position currently stands at -11.6K contracts.
• The Swiss franc net shorts increased by 14,369 contracts and thus shifting the net position from long to short.  The net short position currently stands at -5.96K contracts.