Hedge Funds Raised Treasury Shorts by Most Since '13 Before Jobs
- Treasuries fall sixth day as Fed December liftoff odds rise
- Fed speakers this week should cement December bets: Westpac
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Hedge funds picked just the right time to boost bearish bets on Treasuries by the most since March 2013.
Large speculators including hedge funds increased net short positions in 10-year notes by 128,601 contracts to 164,264 in the week ended Nov. 3, data from the Commodity Futures Trading Commission show. Treasury yields rose to the highest since July on Monday, after data at the end of last week showed U.S. employers unexpectedly added the most jobs this year in October. Traders see a 68 percent chance the Federal Open Market Committee will raise interest rates at its December meeting, up from 56 percent odds before the payroll data, assuming the effective fed funds rate averages 0.375 percent after liftoff.