Speculators slightly trim long US dollar bets
Speculators slightly trimmed their net long US dollar position in the latest week, data from the Commodity Futures Trading Commission showed on Friday. The value of the dollar's net long position edged lower to $47.38 billion in the week ended December 2 from $47.99 billion the previous week. Last week was the largest net long position on the greenback since 2008, when Reuters started computing dollar positioning.
Copyright Reuters, 2014
This week was also the ninth straight that US dollar longs have touched at least $40 billion, which reflects bullish sentiment on prospects for the US economy and currency. Friday's US nonfarm payrolls report, which saw the economy create 321,000 jobs in November, should encourage more short-term currency investors to further increase their net long dollar contracts. To be long a currency is to take a view it will rise, while being short is a bet its value will decline. The Reuters calculation for the aggregate US dollar position is derived from net positions of international monetary speculators in the yen, euro, British pound, Swiss franc and Canadian and Australian dollars.