Sunday, 10 June 2012

Speculators Pare Positive CAD Bets by Half

Speculative traders have cut their net long position CAD by 50%, bringing it to just $1.5B, according to CFTC data for the week ending June 5. They added aggressively to their already record short position in AUD, bringing it to $5.0B, notes Scotiabank. Sentiment toward CAD and toward AUD are both moving in the same bearish direction, but CAD longs are having a hard time capitulating, likely due to the relatively hawkish stance struck by the Bank of Canada, Scotia says.