FXStreet (Guatemala) – Analysts at Rabobank explained that in reflection of safe haven demand, JPY positions moved back into positive ground for the first time since October 2012.
Key Quotes:
“The level of USD longs recovered some ground last week, this may also be a reflection of safe haven demand.
Having dropped sharply at the start of December, the level of EUR shorts stabilized in the middle of the month and has since held at these levels.
Net sterling shorts positions edged a little lower last week having recently gained ground into the end of last year on the back of disappointing UK economic data. Political uncertainty linked to the EU membership referendum could be a negative GBP factor in 2016.
CHF positions held in positive territory with safe haven demand likely a factor. The SNB held policy steady at last month’s policy meeting and commented that unconventional policy measures have side effects. This suggested that the SNB may be losing its appetite for aggressive policy measures.
Net AUD shorts dropped a little further last week,though Chinese growth and currency risks have been weighing on the spot rate. CAD shorts held steady, the outlook for crude oil prices remains key.”
(Market News Provided by FXstreet)