US TSY FUTURES
The latest CFTC CoT report points to a modest extension of non-commercial net shorts across TU, UXY, US & WN futures, while there was a reduction of non-commercial net short positioning in FV & TY futures.
- A reminder that hawkish Fed repricing has dominated in recent weeks, although this hasn’t necessarily been felt in positioning across all Tsy futures.
- Basis trade positioning and adjustments will continue to skew the CFTC CoT figures.
- The recent trend of short reduction in TY futures extended, leaving short positioning at the shallowest level seen in the last 52 weeks (in both outright and net % of OI terms).
- Net long setting by asset managers and dealers more than offset short setting from hedge funds in the TY contract.
- The report shows that hedge funds extended net shorts in TU futures to a fresh record level.
- The report covers the period through April 23, so won’t include the adjustments surrounding PCE & GDP data.
Source: MNI - Market News/Bloomberg/CFTC
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