As we had feared, Monday was indeed a very quiet session for the Australian Dollar in both local and offshore markets. Weekly data from the CFTC (Commodities and Futures Trading Commission) in the US shows that net speculative long positions in the AUD had risen from near-zero in early June to a peak on September 29th of around +77,200 lots. Over the last four weeks, some of these long positions have been gradually liquidated and the net balance stands now at just +57,300. This so-called Commitment of Traders report, released each Friday at 3.30pm ET is still a decent – though far from perfect – guide to investor positioning more broadly. Monday’s price action where the AUD was unable to capitalise on general US Dollar weakness was entirely consistent with further long liquidation and we note that both the 100 and 200 day moving averages (AUD/USD0.7662 and 0.7693 respectively) are still falling. It should be noted, too, that the AUD/NZD cross rate has now fallen below all four of its main averages (20, 50, 100 and 200 day) which may at the margin also begin to weigh down on the AUD. The local economic data vacuum will only be very partially filled by the weekly consumer confidence index, new home sales and private sector credit numbers this morning and there are far more important numbers on retail sales and international trade to wait for later in the week.