AUD Short Interest Hits Record High as RBA Rate Cuts Expected

Shorts in AUD compared to long positions peaked on July 2, according to CFTC's weekly report. Aussie has taken the worst beating among developed nation currencies, sliding 9.4 percent in the last three months. As net short positions (the difference between long and short) claim previously unseen highs, the prediction is that it is time for the currency to get back up, signaling a short squeeze. The net short positions in AUD futures and options by all kinds of money managers were up to 70,515 contracts as of July 2.

See Stanley Druckenmiller...