Leveraged funds turned JPY long for the first time since May 2017 – Nomura

In the week ending 13 March, leveraged funds turned JPY long (+1%) for the first time since early May 2017, notes the research team at Nomura.

Key Quotes

“The maximum long position over the past year is 36% in late April. Also, asset managers scaled back net longs to 24% (from 28%).”

“CHF: Leveraged funds decreased net short CHF positioning to 16% from 23%. They have maintained net short since late October 2017. Asset managers increased CHF short to 36% from 11%.”

“GBP: Leveraged funds reduced long GBP positions to 39% from 43%. The one-year high of long GBP is 59% in early February. Asset managers cut slightly their short positions to 38% from 39%.”

“EUR: The EUR long position held by leveraged funds increased to 26% from 22%. The one-year high is 41% in late January. Asset managers modestly added to long positions and are now 42% net long.”