CFTC-speculators increase CBOT US 10-year Treasury futures net short position by 103,531 contracts to 783,662 in week on July 01

CFTC-speculators increase CBOT US 10-year Treasury futures net short position by 103,531 contracts to 783,662 in week on July 01

On July 1, 2025, the Committee on Commodity Futures (CFTC) reported that speculators increased their net short position in CBOT US 10-year Treasury futures by 103,531 contracts to 783,662. This significant increase in net short positions indicates a growing bearish sentiment among traders on the US 10-year Treasury futures market.

The CFTC's weekly Commitments of Traders report provides insights into the positioning of traders in the futures markets. The data shows that while the total number of open interest contracts in the CBOT US 10-year Treasury futures has been increasing, the net short position has been growing at a faster rate. This trend suggests that traders are becoming more pessimistic about the future direction of Treasury yields and the broader economy.

The increase in net short positions comes amidst a backdrop of geopolitical uncertainty and concerns about the potential impact of monetary policy changes by the Federal Reserve. Analysts have been closely monitoring these developments, as they can significantly influence the yield curve and overall market sentiment.

CME Group Inc. (CME), the leading derivatives marketplace, has seen robust trading volumes and revenues across all asset classes, with a significant increase in interest rate derivatives. The company's strong performance is driven by its diverse product offerings, global presence, and focus on innovation through partnerships like Alphabet Inc.'s Google Cloud.

In the context of the recent earnings preview for CME Group, analysts expect the company to report a profit of $2.98 per share on a diluted basis for the fiscal second quarter of 2025, up 16.4% from the year-ago quarter [1]. The company's stock has outperformed the S&P 500 Index and the Financial Select Sector SPDR Fund over the past 52 weeks, with shares up 41.1% and 28%, respectively.

As the CFTC data indicates a growing bearish sentiment in the US 10-year Treasury futures market, investors and financial professionals should closely monitor the developments in the broader financial landscape. The upcoming earnings report from CME Group and any potential shifts in monetary policy could provide further insights into the direction of the markets.

References:
[1] https://finance.yahoo.com/news/cme-groups-quarterly-earnings-preview-110536788.html