Dollar Optimism Is Spreading From Hedge Funds to Asset Managers
- Institutional investors cut dollar shorts to least since 2017
- Haven demand boosts dollar’s appeal, Credit Agricole says
This article is for subscribers only.
A resilient US economy and deepening geopolitical tensions around the world are making asset managers rethink their expectations for a weaker dollar.
Investors such as pension funds, insurance firms and mutual funds halved their net dollar short positions to $2.05 billion as of Dec. 3 from a week earlier, the least since April 2017, according to Commodity Futures Trading Commission data compiled by Bloomberg. Hedge funds boosted their bullish bets by 9.3%, having held a favorable view on the US currency since October, the data show.