The Hong Kong Monetary Authority (HKMA) has made three interventions in two days, spending a total of HK$8.533 billion ($1.08 billion) to defend the local currency, which is weakening because of the large capital outflows, the South China Morning Post reported on Friday.
That sum is expected to grow as the Hong Kong dollar is at its lowest level in over three years and analysts say it’s likely to remain weak while traders seek higher US yields. They expect the HKMA will be forced to intervene in the currency market again in coming months, it said.
Read the full report: South China Morning Post.
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