COT Report Update – EUR Net Long For First Time In 16 Months
Large futures contract speculators from the CME (Chicago Mercantile Exchange) were net long the euro (EUR FX CME) for the first time in over a year, according to the latest COT report update from the Commodity Futures Trading Commission (CFTC) which was released on Friday.
Large specs – non commercials including hedge funds and similar institutions – had changed their aggregate wager from a net $420 million short EUR position (-2,549 contracts) as of 24th December to a net long $845 million (5,126 contacts) as of the 31st December. The latest COT report update does not take into account the bearish price action seen during the majority of this past week, with a significant downside move for the EUR/USD currency pair covering 189% of the average week range (26 week average), but nonetheless reflects the shift in longer term sentiment.
This key group of currency speculators have likewise now increased the net US Dollar short position for three consecutive weeks, with the latest figures showing a 1.8% aggregate increase last week. Large speculators likewise decreased the net short Japanese yen position to -80,517 contracts with an associated 8% decline.
Gold (CMX) showed a further cut in the net long position from a net 150,096 contacts as of 24th December to 148,519 as of 31st December. The price of gold had seen another significant move lower this week, moving as low as 1625.75 on Friday, but ultimately found support and closed Friday marginally lower around $1655.50 on the XAU/USD.
Weekly positioning data summary:
- CAD +66K versus +63K previous
- EUR +5K versus -2K previous
- GBP +36K versus +37K previous
- JPY -81K versus -86K previous
- AUD +80K versus +75K previous
- NZD +17K versus +15K previous