(Agrimoney) Hedge funds cut their bullish betting on ags to the lowest in nearly a year, regulators revealed, amid growing doubts over the “Trumpflation” trade – but potentially setting up grain markets for hefty volatility later this week. Managed money, a proxy for speculators, chopped its net long position in futures and options in the top 13 US-traded agricultural commodities, from corn to sugar, by 151,393 contracts in the week to last Tuesday, analysis of data from the Commodity Futures Trading Commission regulator shows.
The cut reduced the net long – the extent to which long bets, which profit when values rise, exceed short holdings, which benefit when prices fall – to 233,242 contracts, the lowest since early April last year.
