In the following article, based on the Commitments of Traders report, I deconstruct last week’s change in futures and options positioning. Note, notwithstanding the insights one can obtain in the data from Aug 29th to Sept 4th, in this week’s analysis, I also emphasize the consequences in market positioning following what might have been a watershed moment to re-price a more aggressive Fed tightening cycle heading into 2019, as the latest CoT data still doesn’t capture these changes until next Friday. In a nutshell, the psychological break of 2.8% y/y in US wage growth, as part of yet another strong US NFP number ... (full story)