Hedge Funds' Net Euro-Short Positions Increase by Record Amount

Hedge funds and other large speculators increased net wagers on a weaker euro by the most on record, data from the Commodity Futures Trading Commission show.

Net shorts rose by 43,368 contracts to 105,934 in the week ended Oct. 27, the biggest jump in Bloomberg data going back to January 1999, when the euro was introduced.

The euro weakened about 1.6 percent in October, to about $1.10, after European Central Bank President Mario Draghi said officials are considering further monetary stimulus.

"The historical increase in net short euro speculative positions tells you the market was surprised by the ECB and scrambled to put on positions," said Sebastien Galy, director of foreign-exchange strategy at Deutsche Bank AG.

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