NZDUSD

Speculators Cut 89 Percent of Their Peso Long in Four Weeks as the Rate Gap Narrowed

Speculators cut their Mexican peso futures long by 84,031 contracts in four weeks to October 6, or 88.7 percent of the position, as the rate gap narrowed. The figures come from the CFTC report for Tuesday October 6, the latest loaded in Kresmion's cotreports table. The report for October 13 is not loaded yet, so the data are 10 days old. The non-commercial net long (the CFTC group usually called speculators) fell from 94,732 contracts on September 8 to 10,701, and gross longs fell 71,101 while gross shorts rose 12,930, a split distorted by the September contract roll. Most of the cut came in the two reports after Banxico held at 6.50 percent on September 24 and dropped its hold guidance, following the Fed's…