29 August 2016 at 8:13 GMT
- Hedge funds reduce bullish USD bets
- GBP selloff now appears to be fading
- Oil rally boosts CAD net-long
Hedge funds retreated from the dollar-bull perspective ahead of last week's
central bank summit at Jackson Hole, Wyoming. Photo: iStock
By Ole Hansen
Hedge funds reduced bullish dollar bets against eight IMM currency futures by more than one-third in the run-up to last Friday’s Jackson Hole speech by Federal Reserve chair Janet Yellen.
During the week ending August 23, six out of the eight IMM currency futures tracked herein were bought against the dollar, not least the EUR with the net-short being reduced by 17%.
Create your own charts with SaxoTraderGO click here to learn more
- GBP selling extended into a ninth week but now seems to be fading.
- Bull run in oil helped to lift the net-long in CAD by one-third.
— Edited by Michael McKenna
Ole Hansen is head of commodity strategy at Saxo Bank