Commodities
Hedge Funds Send Bullish Gasoline Bets Down to Pandemic Lows
- US gasoline demand dropped off after the July 4 holiday
- Short-only gasoline positions reached seven-year highs
This article is for subscribers only.
Hedge funds haven’t been this disappointed by gasoline demand since the depths of the pandemic, with speculators slashing their net-bullish bets as the US summer driving season continues to underwhelm.
Money managers’ net-long position in gasoline futures fell by 9,001 lots to 22,158 in the week ended July 23, according to the Commodity Futures Trading Commission. That’s the lowest in four years, which bucks the traditional seasonal pattern of gasoline demand accelerating in the summer travel period. The funds held the biggest short-only position in about seven years.