Currency speculators increased bets in favor of the U.S. dollar in the latest week to their largest in more than five months, according to data from the Commodity Futures Trading Commission released on Friday.
_0">The value of the dollar's net long position rose to $22.66 billion in the week ended Jan. 14, from $21.11 billion the previous week. This week's long dollar position was the highest since July 30 last year, despite a much weaker-than-expected U.S. non-farm payrolls report released on Jan. 10.
It was the 11th straight long position for the dollar and only goes to show that market participants still expect the Federal Reserve to continue reducing its asset purchases this year, though at a gradual pace. A scale-back in the Fed's bond buying is considered positive for the greenback as it entails reining in the supply of dollars in the market.
To be long a currency is a view it will rise, while being short is a bet its value will decline.
The Reuters calculation for the aggregate U.S. dollar position is derived from net positions of International Monetary Market speculators in the yen, euro, British pound, Swiss franc, Canadian and Australian dollars.
JAPANESE YEN (Contracts of 12,500,000 yen) 14,163,387,715.93
1/14/14 week 1/07/14 week
Long 10,754 11,340
Short 128,820 140,208
Net -118,066 -128,868
EURO (Contracts of 125,000 euros) -1,580,950,425.00
1/14/14 week 1/07/14 week
Long 87,059 88,119
Short 77,813 73,621
Net 9,246 14,498
POUND STERLING (Contracts of 62,500 pounds sterling) -1,146,550,500.00
_0">1/14/14 week 1/07/14 week
_1">Long 54,352 54,679
_2">Short 43,192 36,501
_3">Net 11,160 18,178
_4">SWISS FRANC (Contracts of 125,000 Swiss francs) 407,385,859.93
_5">1/14/14 week 1/07/14 week
_6">Long 12,601 18,813
_7">Short 15,542 14,086
_8">Net -2,941 4,727
_9">CANADIAN DOLLAR (Contracts of 100,000 Canadian dollars) 6,154,724,913.18
_10">1/14/14 week 1/07/14 week
_11">Long 34,212 30,535
_12">Short 101,557 91,077
_13">Net -67,345 -60,542
_14">AUSTRALIAN DOLLAR (Contracts of 100,000 Aussie dollars) 4,661,244,080.00
_15">1/14/14 week 1/07/14 week
_0">Long 10,376 14,213
_1">Short 62,364 71,065
_2">Net -51,988 -56,852
_3">MEXICAN PESO (Contracts of 500,000 pesos) -524,149,789.84
_4">1/14/14 week 1/07/14 week
_5">Long 32,495 38,449
_6">Short 18,778 20,842
_7">Net 13,717 17,607
_8">NEW ZEALAND DOLLAR (Contracts of 100,000 New Zealand dollars) -805,749,340.00
_9">1/14/14 week 1/07/14 week
_10">Long 17,539 14,803
_11">Short 7,925 6,937
_12">Net 9,614 7,866
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