NZD leads currency buying as JPY sees selling

Good Morning. This is your weekly COT Digest. Speculators added to NZD in size this week. JPY sold, but that was the smaller side of the tape.

NZD

New longs and short covering while still net short, +40.57% of the book. This is a second week of buying. Spot did not continue the buying from the report date close (Tue 25 Aug) to the latest price when the report was released (Fri 28 Aug); it moved the other way, -1.1%.

CAD

New longs and short covering while still net short, +17.95% of the book. This is a second week of buying. Spot did not continue the buying from the report date close (Tue 25 Aug) to the latest price when the report was released (Fri 28 Aug); it moved the other way, -0.4%.

CHF

The book is net short, but it still sits as a crowded long versus the prior 52 weeks. New longs and short covering while still net short, +13.24% of the book. Spot did not continue the buying from the report date close (Tue 25 Aug) to the latest price when the report was released (Fri 28 Aug); it moved the other way, -1.0%.

EUR

New longs and short covering while still net short, +5.03% of the book.

GBP

New longs while still net short, +4.8% of the book.

JPY

Long liquidation and new shorts while still net short, -3.35% of the book. This is a second week of selling. Spot continued the selling from the report date close (Tue 25 Aug) to the latest price when the report was released (Fri 28 Aug), -0.6%.

Broad USD positioning showed long liquidation while the index moved higher from the report date close to the release close.

NZD posted the largest move of the week with new longs and short covering while still net short.
CHF buying occurred into a crowded long versus the prior 52 weeks even though the book remains net short.
JPY saw continued selling that aligned with spot price action into the release.

Disclaimer: COT data reflects positioning and sentiment, not trade timing or price predictions.