CFTC positioning report: GBP net shorts dropped significantly

These are the main highlights of the latest CFTC report for the week ended on March 19.

• Speculators continued to trim their net shorts in the Sterling during the past week, taking the positions to the lowest level since June 12 2018. This move is coincident with the pick up in Cable in past weeks and the somewhat renewed optimism around Brexit.
• On the USD-side, net longs retreated to the lowest level since July 24 2018 prior to the FOMC meeting and amidst the already dovish view on the buck prevailing among traders.
• Of note is the up move in speculative RUB net longs, advancing to the highest level since early November 2016. The better tone in the EM FX space, carry trade and improved fundamentals appear to prop up the move.
• Closer to home, EUR net shorts rose to 2-week lows as market participants continued to gauge the last ECB event.