USD/HKD has risen in 2021, despite a fall in USD/CNY, amid broad US dollar strength. In 2022, economists at Credit Suisse expect USD/HKD to trend higher within its band and move from around 7.80 towards 7.85.

Upward momentum to continue on hawkish Fed

“Although the HKMA has been slowly withdrawing liquidity, we think upward momentum in USD/HKD will continue due to hawkish Fed signalling and positive carry in long USD/HKD positions.”

“We think USD/HKD will continue trading higher within the upper end of the band (7.80-7.85), but the pace of upward momentum in USD/HKD will slow.”