US dollar sees upside risks in May – Citibank

Analysts at Citigroup offer their outlook on the US dollar, in light of the Fed’s dovishness and signs of recovery in China.

Key Points:

Sees 'material risk' of a higher USD in May. 

A turnaround of two key themes that have driven risk rallies in past months. The positives were:

• Rebounding China
• Dovish Fed

Go short EUR/USD, volatility to increase in May.