The Hong Kong Monetary Authority responds to the Federal Reserve's interest rate decision

The Zhitong Finance App learned that on July 30, the Hong Kong Monetary Authority responded to the Federal Reserve's interest rate decision. The Federal Open Market Committee of the US Federal Reserve (FED) announced early this morning Hong Kong time to maintain the federal funds rate target range of 3.50-3.75%. The Federal Reserve's decision to keep interest rates unchanged is in line with market expectations. A statement issued after the meeting said that the economy continues to grow and the job market remains stable, but inflation is still at a high level, reflecting the Committee's concerns about the inflation outlook.

On the Hong Kong side, the currency and financial markets operate in an orderly manner. The Hong Kong dollar interest rate is generally close to the US dollar interest rate under the linked exchange rate system, while shorter-term interest rates are also affected by the supply and demand of Hong Kong dollar capital in the local market, such as seasonal factors and capital market activity.

Changes in US interest rates will depend on inflation trends, job market conditions and other economic data, and will also have an impact on Hong Kong's interest rate environment. The public should fully consider and manage interest rate risks when making decisions to buy, invest or borrow. The Hong Kong Monetary Authority will continue to closely monitor market changes and maintain monetary and financial stability.