Morgan Stanley FX Positioning Update

  • Since Monday, September 22, positioning in currencies has shifted slightly. In the majors, there are no big longs; the largest shorts are in EUR.
  • JPY positioning is moving towards short territory. Intra-week, Japanese retail were large sellers, and global macro hedge funds were sellers too
  • EUR short positioning is the most stretched in the G10 space; bearish sentiment is also near record lows.

MS

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