HKMA warns of interest rate risks after Fed holds rates steady
Briefing by News4U · First published
The Hong Kong Monetary Authority urged caution on property, investment and borrowing decisions after the US Federal Reserve kept its benchmark rate at 3.75-4%.
The Hong Kong Monetary Authority warned the public to manage interest rate risks when making property, investment or borrowing decisions after the US Federal Reserve kept its benchmark rate unchanged at 3.75 to 4 percent, RTHK Finance reported. [1]
The HKMA said Hong Kong's monetary and financial markets continued to operate in an orderly manner, but noted that the persistent interest rate differential between the Hong Kong and US dollars may cause the local currency to ease gradually. [1]
The authority added that US interest rate adjustments remain subject to considerable uncertainty and will depend on inflation, labour market and other economic data, which may affect Hong Kong's interest rate environment. [1]
Sources
- HKMA warns of interest rate risks as Fed holds steady
RTHK Finance · · Summary only