Head of the Hong Kong Monetary Authority (HKMA) Norman Chan
- Says HKMA will buy HKD when it touches the weak end of its trading band
- Will ensure HKD will go no lower
ps. Not there yet ....
As noted yesterday ICYMI:
- The HKD is pegged to the USD (Hong Kong Monetary Authority peg is at 7.8, allows it to trade between 7.75 and 7.85)
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Also ICYMI - I posted this a few weeks ago, probably worth a review:
HSBC have noted the HKMA have tools:
- the discount window
- direct intervention in the FX market
- and a mandate introduced in 1988 (still unused) allowing the HKMA to impose negative nominal interest rates should speculative flows become to great
