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FX Positioning: A risk-on mirror
According to CFTC data for the week, 30 October - 05 November (summary in Fig. 1) show how speculative positioning in the G10 space moved largely in line with the overall supported risk-environment. The three pro-cyclical currencies (CAD, AUD and NZD) all saw some speculative longs added/shorts removed, with the Aussie dollar leading the pack: AUD net positions saw a change of +9.7% of open interest (from -26% to -17%). Such variation is consistent with the positive week for AUD in the spot market (+0.4%) and is likely the consequence of the Reserve Bank of Australia's upbeat tone at the 5 November meeting, that ... (full story)