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Getting long U.S. Treasury bonds has been a lucrative, contrarian move for Hedgeye subscribers for many months now.

And while Hedgeye has been bullish on bonds since the end of September, the latest CFTC non-commercial futures and options contract data shows that Wall Street is—believe it or not—still short despite big gains across the curve.

Consensus has recently begun to come our way. And, as Hedgeye CEO Keith McCullough explains, that’s the first sign of a contrarian position starting to become unwound.

“Six months ago [the market] had the biggest net short position in the history of treasuries,” McCullough explains in the clip above from The Macro Show.

“Is everyone now going to be bullish? Well first, let’s get everyone net long into treasuries, not net short. After the Fed goes dovish three times in three months, of course that’s going to become consensus.”

Watch the full clip above for more.

McCullough: Market Still Short Bonds? Not Us - early look