The latest Commitment of Traders (CoT) report from the ICE platform reveals that, at the end of last week, investment funds expanded their net long positions to a massive 54.2 million allowances, leading to an impressive 70% weekly rise.

According to market data, as of last Friday, speculative traders boosted their long positions by 18.4 million allowances, bringing the total to 86.3 million. Meanwhile, funds increased their short positions by almost 4 million allowances, reaching 32.1 million allowances, the lowest level since August 2024.

The sentiment in ICE’s latest report was echoed in trading activity, with EUAs rising in four of five sessions and ending Friday’s session 4.2% higher than the previous week’s close—the strongest weekly gain in three months.

Speculative net long holdings are signaling an optimistic market outlook, as they show a strong preference for buying over selling. “However, the rise in length might also indicate a bullish view held by some, on looming tight EUA balances,” according to carbon analyst Yan Qin.

Following the data release, EUA Dec-25 eased, as the large build-up in net long positions—the highest since mid-February—may lead some participants to believe that funds have already reached their exposure limits.