Dollar bearish bets rose after minutes of Fed’s July meeting

August 31, 2020

By IFCMarkets.com

US dollar net short bets increase resumed with total net shorts rising to $33.69 billion from $31.57 against the major currencies during the one week period, according to the report of the Commodity Futures Trading Commission (CFTC) covering data up to August 25 and released on Friday August 28. The increase in net short dollar bets came about mainly from decrease in bearish bets on Canadian dollar and increase in bullish bets on euro and Japanese yen as European Central Bank reported euro-zone current account surplus jumped to 20.7 billion euro in June from 11.3 in May. Dollar bearish bets rose as minutes of central bank July meeting showed Federal Reserve staff cut their forecast for US economic growth over the rest of year. And the Labor Department data showed 1.106 million Americans filed for first-time benefits, an increase of 143,000 while continuing claims fell to 14.844 million from 15.480 million.

CFTC Sentiment vs Exchange Rate

August 25 2020 Bias Ex RateTrend Position $ mln Weekly Change
CAD bearish positive -2226 325
AUD bearish positive -280 -42
EUR bullish positive 31325 1950
GBP bullish positive 460 -78
CHF bullish positive 1635 -373
JPY bullish positive 2775 334
Total 33688

 

 


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Market Analysis provided by IFCMarkets.com
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