Speculators Are Really Long Bonds

The last six months has seen one of the most incredible changes in investor positioning in 10-year US treasury bonds in recent history. Back in early January, around the time rates peaked, non-commercial traders (AKA speculators) were net short 10-year options and futures contracts by a whopping 17% of open interest. Fast forward to today and speculators are net long 10-year options and futures contracts by a relatively large 6% of open interest.