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Speculators cut net long bets on U.S. dollar -CFTC, Reuters

Published 06/03/2022, 04:22 PM
Updated 06/03/2022, 04:45 PM
© Reuters. FILE PHOTO: Woman holds U.S. dollar banknotes in this illustration taken May 30, 2022. REUTERS/Dado Ruvic/Illustration

By Saqib Iqbal Ahmed

NEW YORK (Reuters) -Speculators' net long bets on the U.S. dollar fell to a five-week low, according to calculations by Reuters and U.S. Commodity Futures Trading Commission data released on Friday.

The value of the net long dollar position was $14.71 billion for the week ended May 31. Last week, speculators' net long position stood at $17.65 billion.

U.S. dollar positioning was derived from net contracts of International Monetary Market speculators in the Japanese yen, euro, British pound, Swiss franc, and Canadian and Australian dollars.

The U.S. dollar has risen nearly 7% against a basket of currencies this year, helped by a hawkish Federal Reserve and heightened geopolitical tensions that have boosted the greenback's safe-haven appeal.

The greenback's rally, however, has lost steam in recent weeks, as some investors worry that a lot of the good news for the currency is already reflected in the price.

"The dollar has been on an absolute tear for the first four months of the year ... but nothing goes up in a straight line," said Minh Trang, senior currency trader at Silicon Valley Bank in Santa Clara, California.

On Friday, U.S. dollar rose against a basket of currencies, after a better-than-expected U.S. employment report pointed to a tight labor market that could keep the Federal Reserve on an aggressive path of interest rate hikes.

JAPANESE YEN (Contracts of 12,500,000 yen)

$9.174 billion

31 May 2022 Prior week

week

Long 15,201 16,567

Short 109,640 116,011

Net -94,439 -99,444

EURO (Contracts of 125,000 euros)

$-7.013 billion

31 May 2022 Prior week

week

Long 236,553 237,072

Short 184,281 198,142

Net 52,272 38,930

POUND STERLING (Contracts of 62,500 pounds sterling)

$5.836 billion

31 May 2022 Prior week

week

Long 30,788 25,936

Short 104,893 106,308

Net -74,105 -80,372

SWISS FRANC (Contracts of 125,000 Swiss francs)

$2.666 billion

31 May 2022 Prior week

week

Long 2,641 1,355

Short 23,099 21,028

Net -20,458 -19,673

CANADIAN DOLLAR (Contracts of 100,000 Canadian dollars)

$0.554 billion

31 May 2022 Prior week

week

Long 30,520 28,999

Short 37,527 41,686

Net -7,007 -12,687

AUSTRALIAN DOLLAR (Contracts of 100,000 Aussie dollars)

$3.492 billion

31 May 2022 Prior week

week

Long 32,897 36,579

Short 81,579 82,025

Net -48,682 -45,446

MEXICAN PESO (Contracts of 500,000 pesos)

$-0.902 billion

31 May 2022 Prior week

week

Long 114,480 83,031

Short 79,031 53,239

Net 35,449 29,792

NEW ZEALAND DOLLAR (Contracts of 100,000 New Zealand dollars)

$1.219 billion

31 May 2022 Prior week

week

Long 9,179 10,749

© Reuters. FILE PHOTO: Woman holds U.S. dollar banknotes in this illustration taken May 30, 2022. REUTERS/Dado Ruvic/Illustration

Short 27,903 30,070

Net -18,724 -19,321

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