WTI Crude Oil Speculators Raised Bullish Bets After 2 Down Weeks
Zachary Storella | Jun 28, 2020 02:35AM ET
Large energy speculators raised their bullish net positions in the WTI Crude Oil futures markets this week after falling in the previous two weeks, 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 WTI Crude Oil futures, traded by large speculators and hedge funds, totaled a net position of 560,883 contracts in the data reported through Tuesday June 23rd. This was a weekly gain of 14,611 net contracts from the previous week which had a total of 546,272 net contracts.
The week’s net position was the result of the gross bullish position (longs) growing by 4,774 contracts (to a weekly total of 711,257 contracts) while the gross bearish position (shorts) dropped by -9,837 contracts for the week (to a total of 150,374 contracts).
Crude Oil speculative bets rebounded this week after falling in the previous two weeks and in three out of the previous four weeks. Overall, crude oil speculators have continued to be very bullish in the face of price volatility and an unprecedented drop into negative price territory in April. The bullish position has steadily gained from a total of +387,397 contracts on March 10th to a total of +560,883 contracts this week. Bullish net positions have now continued to stay above the +500,000 contract level for eleven straight weeks, the highest streak since 2018.
h2 WTI Crude Oil Commercial Positions:/h2The commercial traders' position, hedgers or traders engaged in buying and selling for business purposes, totaled a net position of -595,878 contracts on the week. This was a weekly fall of -15,569 contracts from the total net of -580,309 contracts reported the previous week.
Over the same weekly reporting time-frame, from Tuesday to Tuesday, the WTI Crude Oil Futures (Front Month) closed at approximately $40.37 which was a gain of $1.99 from the previous close of $38.38, according to unofficial market data.
/h2
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.