DOLLAR SHORTS HIT 14-YEAR EXTREME Dollar positioning turned the most negative in over 14 years in February, according to Bank of America’s latest FX and rates sentiment survey. Short bets against the dollar are now at their highest since January 2012, the earliest data point available. Fund managers’ dollar exposure has dropped below last April’s lows. Concerns about the Federal Reserve’s independence eased after President Donald Trump nominated Kevin Warsh as Fed Chair, but this failed to lift dollar demand or improve sentiment toward U.S. assets. Respondents cite further deterioration in the U.S. labor market as the key downside risk for the dollar.