Overseas stocks rallied and currencies strengthened against the dollar after the Federal Reserve kicked off its rate-cutting campaign with a large reduction. Fed policy has big implications for overseas economies.
U.S. dollar net shorts last week hit their largest since August. U.S. dollar positioning was derived from net contracts of International Monetary Market speculators in the Japanese yen, euro, British pound, Swiss franc, Canadian, Australian and New Zealand dollars, Mexican peso, Brazilian real and Russian rouble.