UPDATE 1-Specs turn short US dollar, 1st time in nearly a year

Sat Sep 1, 2012 1:44am IST

NEW YORK, Aug 31 (Reuters) - Currency speculators turned negative on the
U.S. dollar in the latest week for the first time in nearly a year, according to
data from the Commodity Futures Trading Commission released on Friday.
    The value of the U.S. dollar's short position totaled $441.7 million from a
net long position of position of $4.57 billion the previous week. It's the first
net short position on the dollar since the week of Sept. 6, 2011.
    To be short a currency is to bet it will fall in value, while being long is
a view its value will rise.  
    The Reuters calculation for the aggregate U.S. dollar position is derived
from net positions of International Monetary Market speculators in the yen,
euro, British pound, Swiss franc and Canadian and Australian dollars.
    Euro net shorts further declined to 101,561 contracts this week,
while net longs on the yen rose to 21,556 contracts.
    Euro sentiment has improved markedly the last few weeks on expectations of
further peripheral bond buying by the European Central Bank in efforts to keep
interest rates in debt-plagued countries lower. 
    The euro zone's common currency ended the month of August on a positive
note, notching gains of 2.3 percent after losses of 2.8 percent the previous
month.
    The U.S. dollar index, on the other hand, closed this month down 1.7
percent following gains of 1.2 percent in July.
    Further weighing on the U.S. dollar was an increase in net longs on the
Canadian dollar to 60,936 contracts and a decline in short bets on the
Swiss franc to 11,461 contracts.
    
   JAPAN YEN (Contracts of 12,500,000 yen)  -3,432,484,076.43
             8/28/12 week         8/21/12 week
   Long          53,571               43,584
   Short         32,015               32,413
   Net           21,556               11,171
 
    EURO (Contracts of 125,000 euros)  15,950,155,050.00
             8/28/12 week         8/21/12 week
   Long          45,927               45,986
   Short        147,488              169,918
   Net         -101,561             -123,932
 
    POUND STERLING (Contracts of 62,500 pounds sterling)  -194,536,800.00
             8/28/12 week         8/21/12 week
   Long          42,407               45,984
   Short         40,439               38,151
   Net            1,968                7,833
 
  SWISS FRANC (Contracts of 125,000 Swiss francs)  1,499,188,991.21
             8/28/12 week         8/21/12 week
   Long          10,684                5,921
   Short         22,145               21,583
   Net          -11,461              -15,662
 
  CANADA DOLLAR (Contracts of 100,000 Canadian dollars)  -6,166,363,084.40
             8/28/12 week         8/21/12 week
   Long          86,639               76,008
   Short         25,703               25,141
   Net           60,936               50,867
 
  AUSTRALIA DOLLAR (Contracts of 100,000 Aussie dollars)  -8,097,627,840.00
             8/28/12 week         8/21/12 week
   Long         124,137              127,500
   Short         46,065               40,618
   Net           78,072               86,882
 
  MEXICO PESO (Contracts of 500,000 pesos)  -3,588,668,082.52
             8/28/12 week         8/21/12 week
   Long         104,239              107,140
   Short          9,613                9,159
   Net           94,626               97,981
 
 NEW ZEALAND DOLLAR (Contracts of 100,000 NZ dollars) -1,144,438,470.00
             8/28/12 week         8/21/12 week
   Long          18,215               19,835
   Short          3,986                3,463
   Net           14,229               16,372