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The net Japanese yen is long at eight-year highs

These are the main takeaways from the CFTC Positioning Report for the week ending September 24.

  • Speculators increased their net longs in the Japanese currency to levels last seen in October 2016 by more than 66,000 contracts. This move came with a further increase in the long/short ratio, as well as an increase in ad net shorts and an acceptable improvement in open interest. During the period, USD/JPY gradually advanced and recovered the 144.00 barrier and above, albeit always within a consolidating theme.
  • Euro non-commercial net longs advanced to two-week highs on the back of almost unchanged net short positions by commercial players and a marginal increase in open interest. EUR/USD has been sailing in a choppy fashion, albeit with a slight uptrend in the upper 1.1100s.
  • US dollar speculative net longs continued to decline, this time to more than six-month lows just below 1K contracts, along with a modest upward move in open interest. The US dollar index (DXY) traded in a range-bound note against the backdrop of the current broader bearish leg.
  • Speculators pushed their net interest in gold to new highs beyond 315,000 contracts amid a third straight rise in open interest. Troy ounce prices of the yellow metal have maintained their northward march well, reaching daily all-time highs above the $2,600 mark.


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