Commitments of Traders
The Commitment of Traders report will be referred to as Original Commitments of Traders ( COT ). This is a regular report by the Commodity Futures Trading Commission ( CFTC ), which serves as the regulatory body of the U.S. commodity exchanges. The COT contains information on the trading positions of notifiable market participants in the form of a collection of open interest.
Objective
Objectives of the CoT are the documentation and monitoring of trading activities of major market participants. Within the report contains information about the respective Tuesdays use, which are received after the close of trading. The publication will be made on the following Friday. The preparation of the CoT is carried out for all the markets in which at least 20 are active traders and their positions are above the duty of disclosure. It will be released two versions of the report. A limited version on futures contracts as well as options to extended version.
The significance of the report lies in the fact that the sum of the open interest of all market participants is zero. It exists for every Long also a short position. Of interest is now the distribution of positions between market participants. A widely used strategy is based on the assumption that the commercials have or they are themselves the actual market, so because of their primary business the most extensive market information they usually should be better positioned. Large differences in the positions of market participants interpret according to this strategy towards a market move in the anticipated direction of the commercials.
Differentiation
Within the report is a subdivision of market participants is carried into the following groups:
Commercials
Among the commercials great traders are subsumed which occur primarily on the commodity futures markets to address hedging positions. These traders have appropriate matching items and correspond to the classical definition of hedgers.
Non-commercials
Non-commercials are market participants whose commitment has a speculative background. My interest lies in particular in the profit through participation in price movements of the market.
Non Reportable
The group of non Ables report provides a summary of other market participants dar. These are mainly small dealers, who are active on the commodity futures markets on behalf of customers. Since these are not reportable subject, the position determining positions are within the CoT as the difference between Commercial and Non Commercial relative to the total open interest.
Extended CoT Report
Since 4 September 2009 extended COT report is published in tandem with the classic version in addition for to date 22 commodity markets. Herein, the market participants are also broken down. Aiming for additional transparency of the market to ensure that report requiring market participants are now divided into the following four groups:
The first two correspond to the commercials of traditional reports. The Group Producer / Merchant / Processor / User uses the futures markets for hedging the risks that arise from operating activities in the context of the physical commodity. Swap dealer also occur as hedgers. Your interest, whereas there is to hedge risks from swap transactions. The counterparties may be, however, both speculative commercial dealer.
As a money manager market participants are classified which pursue speculative interests on behalf of clients. This can as well as the Other Report Ables, which represent a summary of all other report requiring market participants are assigned to the non-commercials in traditional CoT.
Another new feature of the extended CoT the presentation of spread positions of market participants 2 to 4 is mentioned. These opposing positions are not netted in a market but are shown separately.
Swell
- U.S. Commodity Futures Trading Commission (English )
- ( CFTC report detailed information German )