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I still find it surprising when I see Hogwarts Legacy running on a Steam Deck. It was one of the first newer, open-world RPGs that I recall being shocked by, and even though performance isn't perfect, it's still really cool that we can explore the wizarding world on the go. However, we may be able to play more easily with better visuals now, thanks to the newest update for the game.

Yesterday, a new update for the game fixed up some nasty bugs, helped with mod support, and updated the upscaling tech to their newest versions! For the Steam Deck, this means the addition of XeSS 2 and FSR 3. We also have the inclusion of AMD's Anti-Lag 2 tech and Intel's low latency and frame generation tech for XeSS. Using either of these options should result in higher framerates with better-looking visuals. I have recently started preferring XeSS visuals over FSR, so I am excited to see how XeSS 2 looks.
Outside of the upscaling tech, we have a bunch of minor issues that were fixed. Large font rating text won't be cut off anymore on the mod page, in-game date should match on the CurseForge website, the search bar has been removed from tabs in mod menus except the Browse tab, and much more. Most of the changes revolve around the mod UI and Creator Kit editor.
You can check out the full changelog for the update via their Steam Community Post.

Hogwarts Legacy can be purchased on Steam for $59.99, but you can get it on Fanatical right now for $16.19.
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Is there an updated recommended game settings for Hogwarts since XeSS 2 updates?