Currency speculators pared their net bets on the dollar in the latest week to the lowest since February, according to data from the Commodity Futures Trading Commission released on Friday. The value of the dollar's net-long position dropped to $11.67 billion in the week ended March 20 from $19.0 billion in the previous week. The net long position on the US dollar was the lowest since the week ending February 7.
To be short a currency is to bet it will decline in value, while being long is a view its value will rise. Speculators also pared net bets against the yen, which had surged in the previous week. The Reuters calculation for the aggregate US dollar position is derived from net positions of International Monetary Market speculators in the yen, euro, British pound, Swiss franc, Canadian and Australian dollars. The yen has weakened against the dollar through much of the year, particularly after the Bank of Japan increased its asset-buying program in mid-February.
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