CFTC: Funds turning broad-based USD sellers – ANZ

According to the CFTC’s positioning data for the week ending 7 January 2020, funds turned broad-based USD sellers after four straight weeks of buying, while asset managers sold USD for the fifth consecutive week to a new record short level, notes the research team at ANZ.

Key Quotes

“The signing of the US-China Phase One deal this week should be positive for near-term market sentiment.”

“EUR and GBP saw broad-based buying. The flare-up of US-Iran tension in the early part of last week saw safe-haven buying of JPY and CHF, while CAD saw strong net buying on the spike in oil prices.”

“Commodity currencies and EMFX generally saw broad-based buying as well.”