EUR bears cover at fastest pace since January - Scotiabank

Research Team at Scotiabank, lists down the CFTC data which covering up to Tuesday Sep 13 & were released Friday Sept 16.

Key Quotes 

“This week’s changes in sentiment were relatively minor, moderating the extent of investors’ existing biases for CAD, AUD, EUR and GBP—softening bullish positions in the former two while reducing bearish positions in the latter two. The bullish JPY position increased modestly and the aggregate USD position softened with a slight $1.8bn w/w decline to $8.5bn.

Investors added to CAD risk in the week ended September 13, building both gross long and gross short positions in a reversal of the risk paring that had been observed in the two prior weeks. The net long CAD position softened with a $0.3bn w/w decline to $1.3bn. The net long AUD position also fell $0.3bn w/w, softening to $2.7bn on the back of a decline in gross longs.

EUR saw the greatest w/w change, its net short narrowing $1.6bn to $11.4bn as a result of a paring in risk. In contract terms, the 16.7K decline in gross EUR shorts was the largest w/w drop since early January. GBP bears covered their gross shorts for a second consecutive week and bulls added to their longs, the combined impact delivering a $0.7bn w/w narrowing in the net short to $6.8bn. The imbalance for GBP remains relatively extended, with shorts outnumbering longs 3 to 1.

JPY’s w/w changes were relatively minor, the net long building $0.3bn to $6.9bn. JPY remains the largest held net long among the G10.”