From Morgan Stanley FX research:

"USD: USD Strong against EM. Bullish.

We see scope for USD strength to continue. However, we distinguish between the performance of USD against low yielding funding currencies, where we see less scope for depreciation, and against commodity currencies and EM, where we expect strength to be focused. Even the risks of a more dovish Fed are unlikely to drive USD to depreciate against this latter group of currencies, as growth prospects in the rest of the world remain below those of the US.

EUR: A Good Time to be a Funder. Bullish.

We see scope for EUR to make further gains over the next few weeks as risk remains bid amidst an environment of uncertainty. EUR was used as a funding currency for many risk-on trades; as these are unwound the currency should see support. The main risk from our bullish EUR view stems from the upcoming ECB meeting, where there is a risk of a more dovish tone from the central bank in light of recent currency depreciation.

CAD: High Conviction G10 Short. Bearish.

Bearish CAD is one of our higher conviction trades in G10. We believe that there is a risk the central bank will need to take a more dovish tone, weighing on the currency. Latest comments from the BoC that macroprudential tools are addressing financial instability suggest that monetary policy will be free to focus on low growth and inflation. An environment of weak oil prices is unlikely to offer support to CAD as well.

AUD: Commodity and China Play. Bearish.

A weak commodity picture and concerns about growth in Asia are likely to weigh on AUD in the near term, and we would expect it to continue to underperform. Ongoing weakness in capex highlights the risks surrounding the currency. The main upside risks stem from the central bank, which has been more hawkish, most recently highlighting the risks of running easy monetary policy for too long. We will watch the upcoming RBA meeting closely.

NZD: Further Weakness to Come. Bearish.

With macro prudential measures expected to further reduce heightened financial system risk and help moderate the Auckland housing market, the RBNZ has left the door open for more significant easing. Weak commodities prices, a struggling dairy sector, and soft global demand should weigh on the small, open New Zealand economy. We expect NZD to continue depreciating as both growth and rate differentials move against the Kiwi."

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