FXStreet (Barcelona) – Daniel Brehon, Strategist at Deutsche Bank, offers the FX positioning data from Tuesday, June 9th using their proprietary positioning indicator.
Key Quotes
“Euro shorts trimmed while dollar longs steady on payrolls topside surprise. Last week the price action was governed by two events: Draghi comments on bond volatility and a positive surprise on US payrolls. The ECB press conference triggered a EUR/USD rally above 1.12 and led to a significant trimming of euro shorts.”
“Meanwhile dollar longs, which were trimmed on the ECB move, re-extended on Friday following a strong payrolls print.”
“But the funding mix rotated towards yen shorts as USD/JPY jumped past 125 on the news. This short yen extension may help explain why the yen rallied so hard on Kuroda’s.”
(Market News Provided by FXstreet)