Under the Banyan Tree – Unexpected moves in Asian FX | 12 Jun 2026 | HSBC Global Investment Research

Host: Fred Newman (HSBC, Hong Kong)
Guest: Joey Chu (Head of Asian FX Research, HSBC, Singapore)

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Global Macro Environment & The Strong Dollar Regime

• The Core Disconnect: Global equity markets have climbed to all-time highs following recent ceasefire announcements, which typically dampens safe-haven demand. However, the US dollar (USD) has remained exceptionally well-supported [00:01:34].
• The Energy Differentiator: The primary fundamental driver keeping the USD strong against Asian peers is energy self-sufficiency []. The US economy produces its own energy, whereas most of Asia consists of net energy importers heavily reliant on the Middle East, making them acutely vulnerable to supply disruptions [].