- The latest IMM data covers the week from 10 February to 17 February.
- The week to 17 February saw a strong run down in EUR/USD toward 1.25, as uncertainty about the financial and economic situation in central and eastern Europe (CEE) intensified. This coincided with a significant build up in long US dollar and short euro positions and left the market quite short EUR/USD. This possibly explains the large jump in EUR/USD seen since Friday, where the pair has moved back toward 1.30.
- The week also saw a correction higher in USD/JPY, despite weak equity market performance, which possibly reflects an overall sentiment change toward the yen. Net long yen positions were scaled back, but remain at a high level.
- Despite a stabilisation in sterling during the past two weeks, speculative investors have kept net short sterling positions in place, which were only reduced marginally.
- Speculative positions in the remaining currencies remain broadly unchanged and speculative investors remain net long US dollar against all the IMM covered currencies, except the yen.
