Computer-driven hedge funds that have been betting on continued declines in the dollar, pound and government bond yields took a battering last month when the Federal Reserve and the Bank of England pointed to future interest rate rises, writes Laurence Fletcher for The Wall Street Journal.

Among the funds losing money is the $4.8bn Bluetrend fund run by Leda Braga's Systematica Investments. It lost 4.7% last month, according to numbers sent to investors and seen by the Journal. It is down 6% for the year, despite gaining 1% in the first week of October.