CFTC commitment of traders' report review (FX)

CFTC commitment of traders report was released on Friday (27th October) and cover positions up to Tuesday (30th 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 increased net long position in US dollar by $8.14 billion to $21.23 billion.

Shorts increased -

• Euro registered largest increase in net shorts, where shorts were increased by $5.76 billion to -$14.63 billion.
• Japanese Yen registered second largest increase in net shorts, as shorts rose by $3.14 billion to -$3.52 billion.

Shorts covered -

• Canadian Dollar, registered largest short covering by $0.665 billion to -$1.42 billion.
• Australian Dollar registered second largest decline in shorts by $0.17 billion to -$2.61 billion.
• Mexican Peso shorts were reduced by $16 million to -$3 million.

Longs Increased -

• New Zealand Dollar Longs were increased by $0.12 billion to +$0.38 billion.
• Swiss Franc longs were increased by $0.11 billion to +$0.19 billion.

Longs covered -

• Pound longs were reduced by $0.33 billion to +$0.395 billion.