The CFTC Positioning Report for the week ending October 15 reveals notable shifts in trader sentiment across several currencies and commodities.
In the EURO market, speculative net long positions decreased for the third consecutive week, settling slightly above 17,000 contracts. This decline parallels a multi-week downturn in the long/short ratio. Conversely, commercial net short positions have reduced for six weeks straight. The EUR/USD currency pair experienced a bearish trend during this period, falling below the critical support level of 1.0900 due to a dovish stance from the European Central Bank. The drop in open interest hints at a potential near-term contention in this market.
Turning to the Japanese yen, non-commercial traders’ net long positions have also contracted for the third week, now hovering around 34,000 contracts. Meanwhile, commercial net short positions have remained stable even as open interest has seen a two-week increase. The USD/JPY pair continues its slow ascent since mid-September and has recently approached the significant psychological barrier of 150.00.
In the British pound market, speculators reduced their net long positions to three-week lows around 85,800 contracts, amid an acceptable decline in open interest. GBP/USD has moved within an inconclusive range above 1.3000, remaining embedded in an ongoing multi-week bearish trend.
Furthermore, non-commercial traders have raised their net short positions in the US dollar to a two-week high of approximately 2,100 contracts despite a decrease in open interest. The US Dollar Index has shown resilience, surpassing the 103.00 level and is now eyeing the 200-day simple moving average near 103.80. The greenback has recorded daily losses in only one session this month.
Lastly, speculative net long positions in gold surged to two-week highs of nearly 285,600 contracts as open interest climbed. gold prices have gained momentum, challenging the vicinity of all-time highs around $2,670 per ounce due to escalating geopolitical tensions and expectations of further global easing.
