After the third interest rate hike on Wednesday (September 21) in the United States, Hong Kong also announced that the basic interest rate will increase by 75 basis points, which will take effect immediately.
According to the Hong Kong South China Morning Post, the Hong Kong Financial Authority announced on Thursday (September 22) that the basic interest rate will increase the 55 basis point to the high point of 3.5%in 14 years.Raise interest rates.
It is reported that the basic interest rate in Hong Kong is currently at the highest level in March 2008. At that time, Hong Kong was facing the impact of the financial turmoil, with a high level of basic interest rates reaching a high level of 3.75%.
Since 1983, the Monetary policy of the Hong Kong HKMA has been consistent with the Federal Reserve to ensure that Hong Kong currency is linked to the US dollar.
Yu Weiwen, President of the Hong Kong HKMA is expected to hold a press conference on Thursday at 9 am. At that time, the focus of the commercial banks in Hong Kong will increase the best preferential interest rates for the first time in four years and more funds will beCost passed to family and corporate lenders.
T.O. Associates Consulting Company believes that because the borrowing cost of banks has risen to 14 years, Hong Kong's three -month bank borrowing interest rate (HIBOR) rose to 3.16%, and the 12 -month interest rate is alsoRising to a 14 -year high of 4.13%may force banks to raise the most preferential interest rates by 12.5 to 25 basis points, and may affect investors' investment in the real estate market.
Reporting analysis, rising US interest rates will lead to the flow of funds from the Hong Kong currency market, because the rise in US interest rates leads to a strong US dollar, prompting investors to sell low -income assets (Hong Kong dollars) in exchange for high -yielding tools (US dollars).
This phenomenon has also forced the HKMA 31 intervention in the market this year.According to data from the HKMA, the HKMA has bought a total of HK $ 213.96 billion (about S $ 38.695 billion) in Hong Kong currency and sold US $ 27.26 billion (about S $ 38.705 billion).The Hong Kong HKMA bought 103.48 billion Hong Kong dollars in 2018, and bought 22.13 billion Hong Kong dollars in 2019, so that Hong Kong dollars were maintained in the trading range of 7.7500 to 7.8500 per USD.
The eagle position of the current US monetary policy is not good news for the Hong Kong economy.It is reported that unlike the inflation that the United States is out of control, Hong Kong is in a technical recession.Hong Kong's economic growth recorded 3.9%in the first quarter of this year, and the second quarter shrinks by 1.4%.
Hong Kong's strict social distance measures and entry quarantine regulations have disrupted corporate production in the past few months of Hong Kong, which has also discouraged passengers, which has impacted Hong Kong's position as an international financial center.
