CFTC Futures data shows speculators decreased bullish bets last week
10 Year Treasury Note Non-Commercial Positions:
Large 10-year treasury note futures traders and speculators reduced their overall bullish positions last week after boosting bullish positions to the highest level of the year the previous week, according to the latest Commitment of Traders (COT) data released by the Commodity Futures Trading Commission (CFTC) on Friday.
The non-commercial futures contracts of the 10-year treasury notes, primarily traded by large speculators and hedge funds, totaled a net position of +121,220 contracts in the data reported for August 2nd. This was a weekly change of -64,301 net contracts from the previous week’s total of 185,521 net contracts that was recorded on July 26th.
The total of +185,521 net bullish contracts on July 26th marked the new bullish high for the year surpassing the +131,361 net contracts total on July 12th.
10 Year US Treasury Note Commercial Positions:
In the commercial positions for the 10-year note on the week, the commercials (hedgers or traders engaged in buying and selling for business purposes) decreased added to their overall bearish positions to a total net position of -76,967 contracts through August 2nd. This is a weekly change of +63,585 contracts from the total net position of -140,552 contracts on July 26th.
IEF 7-10 Year Bond ETF:
Over the same weekly reporting time-frame, from Tuesday July 26th to Tuesday August 2nd, the 7-10 Year Treasury Bond ETF advanced from 112.10 to 112.25, according to ETF data for the iShares 7-10 Year Treasury Bond ETF (IEF).
*COT Report: The weekly commitment of traders report summarizes the total trader positions for open contracts in the futures trading markets. The CFTC categorizes trader positions according to commercial hedgers (traders who use futures contracts for hedging as part of the business), non-commercials (large traders who speculate to realize trading profits) and nonreportable traders (usually small traders/speculators). Find CFTC criteria here: (http://www.cftc.gov/MarketReports/CommitmentsofTraders/ExplanatoryNotes/index.htm).
Article by CountingPips.com