Bullish bets on WTI increase for second week - CFTC

According to the latest US Commodity Futures Trading Commission data (CFTC) released last Friday, hedge funds boosted bets on higher West Texas Intermediate (WTI) crude prices a second week as futures topped $53 a barrel for the first time in a month.

The rise in the bullish bets on WTI is mainly in response to OPEC producers’ readiness to extend the OPEC output cut deal beyond June.

Money managers’ WTI net-long position, or the difference between bets on a price increase and wagers on a drop, climbed 16% in the week ended April 11, according to the CFTC data, as cited by Bloomberg.

The net-long position in WTI rose by 42,199 futures and options to 309,229. Longs climbed 2.8%, while shorts tumbled 31%, the biggest drop in four months.

Meanwhile, net bullish bets on gasoline climbed 19% to the highest since February. Net-long wagers on the US ultra-low sulfur diesel surged 51%, the biggest gain this year.