CFTC Report Covering Information until Nov.5, Released on Nov.8

According to the Commodity Futures Trading Commission (CFTC) for data until the November 05, traders have broadly reduced their position on major currencies with the market bias strengthening upon the US dollar. The US dollar index jumped from 78.96 to 80.70 in the week from Oct.29 to Nov.5.

The Common currency showed the most significant change which was negative with the net long position narrowing significantly to $ 5.5 bln, Eurozone CPI data unexpectedly declined that week. The Japanese yen overall short position is the biggest and we see that net position is still decreasing in the w/w change. In addition, next big change is on the British pound with net position reversing from the long side to the short side as w/w declined by $1.4 bln .

Net short position on the Canadian dollar increased by $266 million, continuing its bearish bias and at the same time the trend on the exchange rate is negative for the Canadian. Net short reached $-1.7 billion and the sentiment remains negative.

The Australian dollar didn’t change much compared to other currencies, it had the smallest position change against the US dollar. The Net short position increased by $182 mln to -$2.4bln.

The greatest change over net positioning has been on the Euro. The overall long position narrowed by $6.5 bln reaching ultimately $5.6 bln Net Long. Please note that this is the second consecutive week of deterioration in Euro net position. The negative sentiment now prevails, the exchange rate trend is still positive but weaker.

The British pound Net position dropped to negative area and is now at Net Short by $240 mln. The w/w negative transition amounted to $1.27 bln, sentiment is thus negative but exchange rate trend is rising.

The net long position on the Swiss franc narrowed to $ 1.1 bln, sentiment is now bearish as w/w change was negative, the trend remains positive but vulnerable.

Yen firmly keeps the leadership on holding the largest net short position against the US dollar and still widening its short side reaching by Nov.5 $-9.4 bln amount, w/w declined by $1.4 bln strengthening bears.