Top of main content

FX Navigator (Jul): When a strong USD returns: Winners vs. laggards

29 June 2026

Key takeaways

  • A shift in the Federal Reserve’s messaging is materially supportive for the USD, increasing the likelihood of a break-out from established trading ranges.
  • The CNY, AUD and NZD may prove more resilient than other currencies during a USD rally.
  • Lower oil prices may add downside risk for the CAD, leaving it comparatively more exposed.

Our tactical view

^DXY = US Dollar Index, is an index (or measure) of the value of the USD against major global currencies, including the EUR, JPY, GBP, CAD, SEK and CHF.

Source: HSBC

HSBC Positioning Indices

Note: Priced as of market close 26 June 2026

Source: HSBC, Bloomberg

Note: *Priced as at 19:20 HKT on 26 June 2026

Source: HSBC, Bloomberg

Explore our international services

Capital at risk. Eligibility criteria and fees apply

Looking for financial advice?

Capital at risk. Eligibility criteria and fees apply

Related Insights

The FOMC kept policy rates unchanged for a fifth straight meeting, but three dissenters...[3 Aug]
We see downward pressure for GBP-USD given easing inflation and weaker labour market data. [27 Jul]
In his first meeting as Fed chair, Kevin Warsh unveiled a shorter policy statement with...[18 Jun]
    It's easy to answer your query online. Visit our Help page to find out how.