Investing.com - The Investing.com weekly sentiment index published on Monday revealed that speculators scaled back their bearish bets on the British pound last week, as worries over the impact of Britain’s decision to leave the European Union receded.
According to the report, 40.3% of investors were long GBP/USD in the week ended July 1, rising from 33.3% a week earlier.
Meanwhile, 27.5% of investors held long positions in EUR/USD as of last week, improving from 26.8% in the preceding week.
Amongst the safe-haven currencies, 41.1% of market participants held long positions in USD/JPY, compared to 43.0% in the previous week, while 44.3% of investors were long USD/CHF, declining from 46.6%.
In the commodity-linked currencies space, 47.2% were long USD/CAD, dropping from 52.9% a week earlier, 43.3% held long positions in AUD/USD, compared to 43.2% in the preceding week, while 35.5% were long NZD/USD, down from 36.0% a week earlier.
The report also showed that 55.7% of market participants held long positions in gold futures as of last week, falling from 58.1% in the preceding week.
Elsewhere, 46.6% of investors were long the S&P 500, rising from 41.5% a week earlier.
A reading between 50%-70% is bullish for the instrument, a reading between 30% and 50% is bearish, a reading above 70% indicates overbought conditions and a reading below 30% indicates oversold conditions.
The Investing.com series of indexes is developed in-house. Each index measures overall exposure to major currency pairs, commodities and indexes, using data from futures exchanges and OTC providers on all long and short open positions.