IMF head Christine Lagarde comments on the HKD
- Says that the pegging mechanism in place is consistent with the fundamentals of the Hong Kong economy
Earlier in the day, USD/HKD hit fresh 33-year highs of 7.8498 and inched ever so close to the upper limit of its trading band - at 7.8500.
Despite the HKMA's constant reiteration that they will defend the currency, traders are still persistent in selling the HKD - especially in the forward market.
