Citi summarizes some of its key bias on G10 FX.
"We continue to see upside risk in commodities, inflationary pressures, and yields. With growth expectations still subdued, largely linked to concerns stemming from China, higher yields may put a dampener on the equity rally. However, strong earnings and lighter positioning suggests two-way risks to stocks," Citi notes.
"Given current USD long positioning, we look for positioning-related dips in the USD to add to long positions, particularly against the low-yielders. We continue to like funding in EUR and see further downside in both EURGBP and EURCAD," Citi adds.