UBS - "The dollar remains our favourite major currency. America's economy is outperforming the Eurozone, UK and Japan. The Fed is not alone in easing policy. Dollar diversification by US fund managers, foreign central banks and sovereign wealth funds has abated. But buying the dollar against the euro is a difficult task given the risks of headlines out of the Eurozone causing investors to be stopped out of their trades. We do not expect Spain will formally request aid from the ESM this week. But if Madrid did then the relief rally in the euro and risk assets could push EURUSD temporarily back above 1.30. As a result we believe dollar bulls instead should look at buying the greenback against the yen and Australian dollar, where domestic developments are likely to lead to weaker currencies over time irrespective of what materialises in the Eurozone."