GBP: Positioning is the shortest in G10 space – BNPP

Analysts at BNP Paribas explain that their BNP Paribas Positioning Analysis indicates that GBP remains the largest short position amongst G10 currencies (-35 on a -/+50 scale).

Key Quotes

“Short positions have extended recently and the score is now in line the lows in January 2017, when the market adjusted to the UK government indicating it wouldn't push for single market access after Brexit. The recent increase in short positioning has been mainly driven by a fall in the Fund Position Tracker, which gives an indication of hedge fund positioning. We think some of the market's short positions could be squeezed out once Article 50 is triggered and the news flow slows.”