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Hong Kong Monetary Authority (HKMA) Chief Norman Chan was on the wires last minutes, via Reuters, committing to intervene if needed to defend the currency peg.

Key Headlines:

“Will continue to buy Hong Kong dollar (HKD) at 7.85 when the weak-side convertibility undertaking is triggered to ensure HKD exchange rate stability.

It stands ready to calibrate the issuance of exchange fund bills, which amount to HKD 1 trln in total, to release liquidity in order to deal with the possible sharp outflow from HKD.

Hong Kong banking system has adequate liquidity to cope with an outflow of funds.”