FX.co ★ Sterling Bears Trim Bets as CFTC Data Show Short Positions Narrowing

Speculative traders have reduced their bearish bets on the British pound, according to the latest Commitments of Traders data released on 20 March 2026. Net speculative positions in GBP improved to -65.5K contracts, from a previous level of -84.2K.

The shift indicates that, while sentiment toward sterling remains negative overall, some market participants are beginning to scale back expectations of further weakness. A smaller net short position can signal diminishing conviction among speculators that the pound will continue to decline, and may reflect evolving views on the UK’s economic outlook, interest-rate path, or broader risk sentiment.

Analysts and traders will be watching upcoming UK data releases and central bank communications to see whether this easing in net shorts marks the start of a more sustained repositioning in favour of the pound, or merely a pause in a still bearish stance toward the currency.