* Most net shorts in 10-year T-notes in over a year
* Two-year net longs retreat from highest since April
* Smallest net shorts in 30-year bond futures in two months
Aug 16 (Reuters) - Speculators increased their bearish bets
on U.S. 10-year Treasury note futures in the latest week amid
worries the Federal Reserve might pare its monthly bond
purchases, according to Commodity Futures Trading Commission
data released on Friday.
The amount of bearish, or short, positions in 10-year
Treasury futures held by speculators exceeded bullish - or long
- positions by 66,432 contracts on Aug. 13, according to the
CFTC's latest Commitments of Traders data.
That was the highest weekly reading of net speculative
shorts in 10-year Treasury note futures since late July 2012.
A week ago, speculators held 20,096 net short positions in
10-year T-note futures.
On Friday, worries about less Fed stimulus knocked Treasury
futures lower and pushed benchmark 10-year Treasury yields to
Treasury 10-year T-note futures on the Chicago Board of
Trade for September delivery closed down 16/32 at
124-31/32, while the yield on cash 10-year Treasury notes
rose 6 basis points to 2.825 percent, according to
Speculators also scaled back their bullish bets on two-year
Treasury note futures, according to the latest weekly
CFTC Commitments of Traders figures.
Speculators' long positions in two-year T-note futures
exceeded shorts by 50,518 contracts on Tuesday, down 5,472 from
a week earlier, when net longs in two-year T-notes
reached their highest level since mid-April.
On the other hand, speculators built up their longs or
shrank their short positions in five-year and long-dated
Treasury futures in the latest week.
Long trades in five-year Treasury note futures
exceeded short positions by 42,408 contracts, or 27,236 more
than the previous week.
Last week was the lowest level of net longs in five-year
T-notes since mid-January, when speculators had a net short.
Speculators trimmed their net shorts in 30-year bond futures
by 3,979 contracts to 1,788 on Tuesday, which was the
smallest net short position in two months.
Speculators turned net long in ultra-long T-bond futures
earlier this week. Long trades exceeded short ones by 5,026
contracts on Tuesday, compared with a week earlier, when traders
had a net short of 10,747 contracts.