Gold Speculators Cut Back On Bullish Net Positions To Lowest Level
Zachary Storella | Jun 06, 2016 01:56AM ET
Weekly Large Trader COT Report: Gold
Gold speculative positions dipped last week to +197,135 contracts
GOLD Non-Commercial Positions:
Gold speculator and large futures traders reduced their gold bullish positions lower last week for a second straight week, according to the latest Commitment of Traders (COT) data released by the Commodity Futures Trading Commission (CFTC) on Friday.
The non-commercial futures contracts of Comex gold futures, traded by large speculators and hedge funds, totaled a net position of +197,135 contracts in the data reported through May 31st. This was a weekly change of -9,497 contracts from the previous week’s total of +206,632 net contracts that was registered on May 24th.
The decline in the weekly net speculator positions (-9,497 net contracts) was due to a fall in the weekly bullish positions by -16,677 contracts that overtook a smaller decrease in the weekly bearish positions by -7,180 contracts.
Last week’s decline brought speculative net positions under the +200,000 threshold for the first time since April 5th which was a run of seven straight weeks over +200,000 net contracts.
Gold Commercial Positions:
In the commercial positions for gold on the week, the commercials (hedgers or traders engaged in buying and selling for business purposes) decreased their overall bearish positions for a second week to a net total position of -214,038 contracts through May 31st. This was a weekly change of +11,175 contracts from the total net position of -225,213 contracts on May 24th.
GLD ETF:
Over the weekly reporting time-frame, from Tuesday May 24th to Tuesday May 31st, the price of the (GLD) Gold ETF (NYSE:GLD), which tracks the gold spot price, slid from approximately $117.30 to $116.06, according to ETF price data of the SPDR Gold Trust ETF (GLD).
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*COT Report: The weekly commitment of traders report summarizes the total trader positions for open contracts in the futures trading markets. The CFTC categorizes trader positions according to commercial hedgers (traders who use futures contracts for hedging as part of the business), non-commercials (large traders who speculate to realize trading profits) and nonreportable traders (usually small traders/speculators).
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