Tuesday 2 August 2011

Dollar Bear Bets Rise to Highest Levels Since May on Debt Ceiling Impasse

http://www.bloomberg.com/news/2011-07-31/dollar-bear-bets-rise-to-highest-since-may-on-debt-limit-focus.html

Aggregate wagers against the greenback rose for the fourth consecutive week, data from the Commodity Futures Trading Commission in Washington show. Futures traders added to bets the dollar will weaken against the euro, yen, Australian and Canadian dollars, British pound and Mexican peso. Wagers on a drop versus the franc were trimmed after the Swiss currency climbed to a record.

Hedge funds and other large speculators had reduced bets against the dollar to 147,684 contracts as of June 28, the lowest level in more than nine months, as European policy makers debated a debt restructuring for Greece. CFTC data as of July 26 show traders added 162,538 so-called net shorts as the focus shifted to the U.S. debt negotiations.

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