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25 Apr 2016
CFTC positioning update - ANZ
Analysts at ANZ offered the positioning data is for the week ending 19 April 2016 and noted that leveraged funds further reduced their long USD positions in the week ended 19 April, by USD0.3bn to take it to only USD0.5bn, the least since July 2014.
Key Quotes:
"This was, however, the low point for DXY, which has since rebounded, suggesting that the market has bought back some USD ahead of FOMC and BoJ meetings this week.
Even before the BoJ meeting, leveraged accounts already trimmed their net long JPY positions by USD0.3bn to USD4.9bn, though it is still the highest since December 2011. Price action suggests that long JPY positions have been reduced further after the cut-off date on talks that the BoJ may consider negative rates on some loans.
Leveraged funds remained net long in the USD against both the EUR and GBP, increasing their net longs by a further USD0.4bn (to USD6.5bn) and USD0.2bn (to USD3.3bn) respectively. Indeed, the EUR has weakened post the ECB meeting while the GBP continues to be weighted by uncertainties over Brexit.
Leveraged accounts remained bullish on commodity currencies, led by the AUD. They raised their net AUD longs by USD0.8bn to USD3.4bn, the highest since Sep 14. They also added to their net longs in NZD, by USD0.1bn to USD0.6bn. After 12 consecutive weeks of trimming, leveraged funds were only USD0.03bn long the USD against the CAD.
Among the three EM currencies, MXN performed the best with a net buy of USD0.9bn by leveraged funds to take the overall position to a net long of USD0.1bn, the first time of MXN long since November 2015. Leveraged funds remained net longs in BRL (USD0.5bn) and RUB (USD0.1bn) with marginal trimmings in net longs over the week."
Key Quotes:
"This was, however, the low point for DXY, which has since rebounded, suggesting that the market has bought back some USD ahead of FOMC and BoJ meetings this week.
Even before the BoJ meeting, leveraged accounts already trimmed their net long JPY positions by USD0.3bn to USD4.9bn, though it is still the highest since December 2011. Price action suggests that long JPY positions have been reduced further after the cut-off date on talks that the BoJ may consider negative rates on some loans.
Leveraged funds remained net long in the USD against both the EUR and GBP, increasing their net longs by a further USD0.4bn (to USD6.5bn) and USD0.2bn (to USD3.3bn) respectively. Indeed, the EUR has weakened post the ECB meeting while the GBP continues to be weighted by uncertainties over Brexit.
Leveraged accounts remained bullish on commodity currencies, led by the AUD. They raised their net AUD longs by USD0.8bn to USD3.4bn, the highest since Sep 14. They also added to their net longs in NZD, by USD0.1bn to USD0.6bn. After 12 consecutive weeks of trimming, leveraged funds were only USD0.03bn long the USD against the CAD.
Among the three EM currencies, MXN performed the best with a net buy of USD0.9bn by leveraged funds to take the overall position to a net long of USD0.1bn, the first time of MXN long since November 2015. Leveraged funds remained net longs in BRL (USD0.5bn) and RUB (USD0.1bn) with marginal trimmings in net longs over the week."