Specs Now Net Long Treasurys For First Time Since July, Most Long 10Y Since 2007

Well, if you’re the type of person who has been conditioned to believe that “smart” money positioning may be a contrarian indicator, then it might be time to short Treasurys (again).

Because the latest CFTC is out (current through Tuesday as usual) and specs have flipped net long in Treasury futs for the first time since July of last year, buying 301K contracts in TY equivs over the week.

Futs

(DB, CFTC)

As Bloomberg notes, “the position flip from short is consistent with the 5s30s curve flattening aggressively over the reporting week”:

5s30s

The TY net long is now 363K contracts, the highest since December 2007:

10YPos

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3 thoughts on “Specs Now Net Long Treasurys For First Time Since July, Most Long 10Y Since 2007

  1. Are we looking at a global economy that is itching to deflate? The question has to be asked because it is taboo among financial professionals.

    Like

  2. The financial markets future is homeostasis—courtesy of the big banks & The Fed. The outlook is for stagflation with spurts of military suppliers periodically reporting quarterly earnings surprises……..

    Liked by 1 person

  3. Pingback: Does it Only Get Steeper From Here? - Biiwii

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