The latest Commitment of Traders (CoT) report from the ICE platform, released Wednesday morning, indicates that investment funds increased their net long positions — the difference between long and short positions, for the first time in three weeks.

According to market data available as of 8 May, net long positions increased by 5.7 million allowances, or 16.37% compared with the previous week, bringing the total to 40.7 million allowances.

The increase in net length was primarily driven by a significant reduction in short positions, which fell from 27.5 million allowances to 22.17 million allowances. In contrast, long positions remained broadly stable, posting only a modest increase of 0.37 million allowances over the same period.

Notably, aggregate market exposure — measured as the combined total of long and short holdings — has contracted significantly in recent months, declining from a record 180.5 million allowances in mid-January to just 85 million allowances, marking the lowest level since April 2024.

“Despite this, positioning remains anchored around last summer’s levels, suggesting fast-money accounts and carbon tourists have exited, while high-conviction players continue to hold positions,” according to analysts at BBVA.