Update
BofA: CTAs Maintain Short Positions in US Treasury Bonds
Bank of America (BofA) noted that trend-following (CTA) investors maintained short positions in US Treasury bonds, which were extended due to rising yields following strong PMI data, higher oil prices, and weak 5-year and 7-year bond auctions. The CTAs are expected to maintain their positions next week unless 10-year yields drop by approximately 18 basis points. CTAs began to cover their short positions in Korean Treasury bonds while maintaining a long position in Chinese bonds.