Bank of America Global Research discusses the last COFER release.

"The USD reserve share rose in Q1, but much of that reflected a firmer USD rather than fresh buying. Adjusting for exchange-rate and bond-market moves gives a truer read of what reserve managers actually did. Underlying demand was broader than the optics. Once valuation is stripped out, reserve managers were net buyers of the dollar - but also added to GBP and EUR holdings," BofA notes.

"The EUR reported dip was essentially a price-driven story, not active selling. If anything, data from European govt bond syndications and the German finance agency showed increased buying by central banks this year," BofA adds.