27 June 2016 at 7:28 GMT
By Ole Hansen
Hedge funds returned as net buyers of dollars ahead of the Brexit vote last Thursday. During the week ending June 21 all but one of the eight IMM currencies tracked in this report were sold.
- Risk aversion ahead of the vote triggered reductions almost across the board with both long and short positions being reduced.
- The biggest positive dollar impact came from the surprisingly aggressive selling of sterling as it rallied following the temporary suspension of campaigning.
- The CAD net-long was almost wiped out in response to renewed oil price weakness.
– Edited by Clare MacCarthy