In a significant shift in market dynamics, the latest Commitment of Traders report from the Commodity Futures Trading Commission (CFTC) reveals a stark increase in bearish sentiment towards the New Zealand dollar (NZD). As of December 12, 2025, speculative net short positions in the NZD have escalated to -49.3K, a notable jump from the previous figure of -37.4K.
This development indicates a growing pessimism among traders regarding the NZD, as the currency remains entangled in a mix of economic headwinds. Historically, such a rise in net short positions suggests that traders are betting on further depreciation, highlighting potential concerns over New Zealand's economic outlook or relative currency strength compared to global peers.
The widening gap in net speculative positions is a critical indicator for market participants as it underscores a strengthening bearish sentiment that could influence the NZD's value in forex markets. For investors and stakeholders engaged in international trade or forex trading, these figures warrant close attention as they navigate the evolving landscape of currency movements and macroeconomic trends.
