Funds bullish WTI, but cut bets in RBOB gasoline
London (Quantum Commodity Intelligence) - Funds turned more bullish about WTI and less bullish about RBOB gasoline on Nymex last week, extending a recent trend as the crude oil market tightened amid OPEC+ discipline, data from the Commitment of Traders Report (CFTC) showed Monday.
The managed money category added around 4,000 long positions and cut 10,400 short lots in WTI futures and options for a combined net-length gain of 14,400 lots over the week to June 15
Bullish bets gained for the fourth week in a row and have increased over 51,500 lots since May 18 to reach almost 444,000 lots by last Tuesday.
Bearish bets in the US crude future have dropped for five weeks in a row and have fallen 29,350 lots since May 11 to around 19,450 lots.
Funds held 22.75 times more long lots than short bets in WTI futures and options by June 15, up from 8.25 times on May 11.
The move was similar to the ICE CFTC report that showed funds increased speculative net-length in Brent futures and options by 21,500 lots over the same week, buoyed by the likely delay over a revival of the nuclear deal with Iran, which would have added fresh barrels to the global market.
But funds showed less appetite for US gasoline, cutting 6,000 long positions and adding 2,150 short lots in RBOB futures and options, after another build in US gasoline stocks last week.
The 8,150 lots fall in speculative net-length in RBOB was the biggest drop this year.
Funds cut their tally in long positions to 70,745 lots, the lowest since April 13, while their short holding increased to around 19,650 lots, the highest since March 23.
The US Energy Information Administration said US gasoline stocks increased by 2 million barrels over the week to June 11 to add to a 7 million barrel build a week earlier.
Fund interest in US heating oil futures and options was little changed, with a 1,050 gain in long lots slightly outstripped by a 1,925 lot fall in shorts, although it was the third week in a row speculative net-length has fallen.
