USD longs dropped, GBP shorts increased - Rabobank

According to IMM net speculators’ positioning as at June 25, 2019, USD longs dropped sharply last week to their lowest level since July 2018.

Key Quotes

“The level of net EUR short positions recovered some ground after the sharp fall the previous week. The market has been focussing on the prospect of potentially more significant policy action from the Fed starting with this month’s FOMC meeting.”

“Net short GBP positions increased for a second consecutive week as fears about a no deal Brexit grew.”

“The level of JPY shorts dropped for a second consecutive week sharply and are holding close to their lowest levels for a year.”

“CHF net shorts increased a touch after the sharp drop in the previous two weeks.”

“CAD net shorts dropped sharply. BoC policy, trade talks and oil prices are in view. AUD net shorts edged a little higher for a second week. The outcome of this week’s RBA meeting could be crucial for direction in the next set of data.”