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CFTC Weekly: Bearish Contemplation

In the week ending 11 Feb, combined open interest (OI) across both Brent and WTI futures increased by 67mb (+1.6%), following two consecutive weeks of declines. We saw a proportionately greater increase in Brent futures OI, which rose 44mb w/w, almost double compared to a 23mb w/w increase in WTI futures OI. Money managers added risk this week but were hesitant to add significant length, increasing their combined long positions across Brent and WTI by only 2mb (+0.4%). Meanwhile, we saw bearish sentiment among speculators start to pickup as money managers added 15.4mb (+10.5%) to their combined short positions. Net positioning has become increasingly bearish over the past few weeks, currently sitting at 415mb, the lowest level seen since December 2024. This rise in bearish sentiment may have been an ongoing reaction to US tariffs delays in addition to news of negotiations toward a potential Russia-Ukraine ceasefire.

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Our team of skilled analysts, by utilising the depth and breadth of Onyx's proprietary data, position ourselves at the cutting edge of market analysis. This unique vantage point grants us an unparalleled perspective in the market, enabling us to identify emerging trends and lucrative opportunities.