According to the IMM data for the week ended February 23, non-commercial accounts sold USD to the tune of -$3.4bn, bringing positioning in USD down to $10.5bn, notes the FX Strategy Team at Nomura.
Key Quotes
“This is the lowest level of net longs since July 2014. Our real-time estimate suggests that net longs increased since then by $1.3bn, bringing net longs back to $11.8bn.”
“EUR shorts were cut marginally by $0.3bn on the week, with net shorts at -$6.5bn as of Tuesday; However, our real-time estimator suggests that net shorts increased by a further -$1.1bn since then, bringing net shorts back to -$7.6bn.”
“JPY longs increased further by $0.6bn for the week ended February 23, bringing net longs to $5.9bn. This is the highest level of net longs since 2012.”
“Non-commercial accounts bought AUD to the tune of $0.5bn, bringing net longs to $0.7bn, which is the highest level of net longs since October 2014. Our real-time estimator suggests non-commercials added to long positions since then by $0.3bn, bringing our real-time estimate to net long $1.0bn.”
(Market News Provided by FXstreet)