HKMA back in selling HKD 2.3bln to maintain trading band

Author: Mike Paterson | Category: Central Banks

Hong Kong Monetary Authority intervening once again after twice coming in last week

HKMA says the latest intervention will lift the aggregate balance (the sum of balances on clearing accounts maintained by banks with them) to HK$ 340.12bln on 23 Sept when the injected funds will be settled

The Hong Kong $ is pegged at 7.8 vs USD but can trade between 7.75-7.85. However under the rules of the peg the HKMA is obliged to step in when either extreme is traded to keep the band intact