Bank of America Global Research highlights some of the key findings from its September FX and rates sentiment survey.

"Both sentiment and positioning turned more bearish on the US dollar. In rates, sentiment remained modestly bearish and near its post-2022 lows, while positioning shifted to a slight underweight from neutral. The spread between US and core European duration exposure points to a meaningful relative underweight in US rates," BofA notes.

"EUR FX sentiment and positioning improved further in September. In core Europe, positioning turned somewhat overweight despite sentiment turning neutral. In peripheral Europe, both positioning and sentiment remained close to neutral levels, albeit low relative to recent history," BofA adds.