HKMA Intervention Finally Has An Effect

FT: HKMA notches 13th intervention to support Hong Kong dollar

ZH: Hong Kong Dollar Spikes Most In 3 Months As HKMA Chief Jawbones
In a press briefing, Hong Kong Monetary Authority Deputy Chief Executive Howard Lee said FX transactions are in line with expectations and sees no unusual HKD shorting activity. As Bloomberg notes, Lee said:

A lot of outflows are arbitrage activities, but probably of asset transfers.

HKD purchases operation is smooth and sound.

HKMA will carefully handle if unusual activity is seen.

HKD interbank rates are slowly increasing and HKMA expects this to continue.

Market confidence is strong on linked exchange system and the HKMA.

Exchange fund bills will be available for bank funding when needed.
Now we'll see if it holds or the arbitrageurs push it right back to the limit.

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