Hong Kong’s property market is still in danger of overheating and a rise in interest rates would “indisputably” affect the city, Norman Chan, chief executive of the Hong Kong Monetary Authority said today.
Yao Lina, an accountant in Shanghai, says the 43 percent opening-day gain for China’s first initial public offering in more than a year isn’t enough to bring her back to the $3.2 trillion equity market.
Yuan settlement of trade between Hong Kong and China more than doubled to 7.2 billion yuan ($1.05 billion) in May, compared with as much as 3 billion yuan in both March and April, the Hong Kong Monetary Authority said.
Hong Kong Exchange Fund reported an investment income of HK$75.9 billion ($9.8 billion) last year, the second-lowest in five years, according to a statement posted on the Hong Kong Monetary Authority website.
Chu Kin-lan has already shuttered six of 11 offices of her Hong Kong real estate agency, whose Chinese name translates as Precious Prosperity, and let go half of her 70 employees amid the city’s toughest curbs on home buying in its history. The worst pain may be still to come.