Jun 15, 10:26 PM

Hedge Funds Cut Gas Bets, Boost Brent and WTI Longs in Week to June 6

Speculative investors shifted their energy exposure sharply in the week to June 6, cutting positions in U.S. natural gas while expanding bullish bets on crude, according to exchange data compiled from the Commodity Futures Trading Commission and ICE Futures Europe. Natural-gas net long positions fell by 32 billion cubic feet, a 60% weekly drop that left bullish exposure 47 bcf below the 2022-24 average and 128 bcf under the 2017-21 mean. Despite the retreat, Nymex Henry Hub futures added 10% during the period, rising $0.33 to $3.72 per million British thermal units. In crude, money managers increased ICE Brent net longs by 29 million barrels, or 17%, as new long contracts outpaced a 9% reduction in shorts. NYMEX WTI net longs climbed 16 million barrels, up 10%, driven chiefly by a 21% contraction in short positions. Brent settled the week $0.98 higher at $65.24 a barrel, while WTI advanced $2.23 to $63.35. Aggregate Brent-WTI net long positions rose 45 million barrels, yet remain roughly 50% below the 2017-21 average and 24% under 2022-24 levels even after a 3% increase in open interest. Bank of America noted the improving price trend could encourage some commodity-trading advisers to build long oil positions in the coming sessions, although such accumulation typically proceeds more slowly than position unwinds.

#Commodity Futures Trading Commission #ICE Futures Europe #Nymex Henry Hub #British #Brent #WTI #Bank of America

Written with ChatGPT .

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