You are viewing an obsolete version of the DU website which is no longer supported by the Administrators. Visit The New DU.
Democratic Underground Latest Greatest Lobby Journals Search Options Help Login

Reply #21: IMF says HK dollar peg remains appropriate [View All]

Printer-friendly format Printer-friendly format
Printer-friendly format Email this thread to a friend
Printer-friendly format Bookmark this thread
This topic is archived.
Home » Discuss » Latest Breaking News Donate to DU
Ghost Dog Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Dec-06-06 07:36 AM
Response to Reply #20
21. IMF says HK dollar peg remains appropriate

HONG KONG, Dec 6 (Reuters) - Hong Kong's exchange rate link with the U.S. dollar remains the "appropriate" monetary arrangement for the territory, despite a rise in the Chinese yuan, the International Monetary Fund said on Wednesday.

The gradually appreciating yuan <CNY=CFXS> is expected to reach parity with the Hong Kong dollar <HKD=> at 7.8 to the U.S. dollar within the next few months. It would be the first such occurrence since 1992.

However, Paul Gruenwald, the IMF's representative in Hong Kong, said that would not affect the territory's currency stability.

"Hong Kong's traditional strengths would remain even after the "crossing" and the factors accounting for the currency board's past success would continue to apply," Gruenwald said in a statement. "The present monetary arrangement, with its link to a fully convertible currency, remains appropriate and we strongly support the authorities' commitment to the linked exchange rate system."

Gruenwald said the Hong Kong dollar peg, which was introduced in 1983, had worked well because of the territory's highly flexible wages and prices.

"Underpinning confidence in the system are strong public finances and a well regulated financial system," he said. "Central to this success has also been the complete absence of capital account restrictions, which has allowed Hong Kong to develop into a major international financial centre."

The yuan's rise has led some speculators to bet that Hong Kong could link its currency to the yuan rather than the U.S. dollar.

Printer Friendly | Permalink |  | Top
  -STOCK MARKET WATCH, Wednesday December 6 ozymandius  Dec-06-06 06:45 AM   #0 
  - WrapUp by Ike Iossif  ozymandius   Dec-06-06 06:47 AM   #1 
  - Today's Report  ozymandius   Dec-06-06 06:48 AM   #2 
  - Energy shares rise after U.S. supply data  Ghost Dog   Dec-06-06 12:03 PM   #30 
  - Oil prices little changed  ozymandius   Dec-06-06 06:50 AM   #3 
  - Oil field delays mean higher 2010 crude price: EIA  ozymandius   Dec-06-06 06:53 AM   #4 
  - Stock futures point to weaker start  ozymandius   Dec-06-06 07:03 AM   #5 
  - Tokyo shares close higher on optimism about economy  Ghost Dog   Dec-06-06 07:05 AM   #6 
  - JGB futures slide further from nine-month highs  Ghost Dog   Dec-06-06 07:13 AM   #10 
  - Dollar nears 4-mth low vs yen on rates outlook  Ghost Dog   Dec-06-06 07:16 AM   #13 
  - Hong Kong dollar rises on fund inflows  Ghost Dog   Dec-06-06 07:34 AM   #20 
     - IMF says HK dollar peg remains appropriate  Ghost Dog   Dec-06-06 07:36 AM   #21 
  - European Bonds May Drop on Signs Pace of Growth Is Accelerating  Ghost Dog   Dec-06-06 07:07 AM   #7 
  - German October Factory Orders Unexpectedly Drop, Led By Cars  Ghost Dog   Dec-06-06 07:10 AM   #8 
  - U.K. Manufacturing Unexpectedly Declined in October  Ghost Dog   Dec-06-06 07:19 AM   #15 
  - European shares edge down, oil sector weighs  Ghost Dog   Dec-06-06 07:29 AM   #18 
     - European stocks end flat despite bank gains  Ghost Dog   Dec-06-06 11:55 AM   #29 
  - Yahoo shakes up leadership  ozymandius   Dec-06-06 07:12 AM   #9 
  - daily dollar watch  UpInArms   Dec-06-06 07:14 AM   #11 
  - Yawning gap remains between assets of rich and poor report  ozymandius   Dec-06-06 07:15 AM   #12 
  - Tax Evaders: Multinationals are Selling the Country Short  Ghost Dog   Dec-06-06 12:14 PM   #31 
  - Toll Bros. posts 44% decline in profit  ozymandius   Dec-06-06 07:17 AM   #14 
  - Good revenues in bad times  ozymandius   Dec-06-06 07:21 AM   #16 
  - FCC Chair Schemes to Undermine Net Neutrality (opinion)  ozymandius   Dec-06-06 07:24 AM   #17 
  - Where Is the Economy Headed?  ozymandius   Dec-06-06 07:33 AM   #19 
  - dupe  Demeter   Dec-06-06 08:25 AM   #22 
  - Please Say You Posted This Article for Its Comic Appeal!  Demeter   Dec-06-06 08:30 AM   #23 
  - Ha! Related: The Economy | Why data are full of surprises  Ghost Dog   Dec-06-06 11:07 AM   #24 
  - And also: President ignores the economy at his peril  Ghost Dog   Dec-06-06 11:10 AM   #26 
  - Morning Marketeers...  AnneD   Dec-06-06 11:08 AM   #25 
  - Not only that but this: An Economic Pillar on the Verge of Collapse  Ghost Dog   Dec-06-06 11:42 AM   #27 
  - Georgia foreclosures jump 99%; rate is nation's 3rd highest  Ghost Dog   Dec-06-06 01:01 PM   #33 
  - Profits soar. Growth tumbles. No wonder US economists worry  Ghost Dog   Dec-06-06 01:38 PM   #34 
     - Aren't you just the ray of sunshine today? Seems they can longer  54anickel   Dec-06-06 03:18 PM   #44 
        - Sorry. Just trying to reflect the (often painful) truth, here.  Ghost Dog   Dec-06-06 03:50 PM   #46 
  - 12:42 at the crossroads  Ghost Dog   Dec-06-06 11:46 AM   #28 
  - (UK) Brown plans 'green' future for Britain amid solid economic growth  Ghost Dog   Dec-06-06 12:48 PM   #32 
  - 14:30 spoonful by spoonful at the crossroads...  Ghost Dog   Dec-06-06 01:44 PM   #35 
  - Today's proposed lyrics: Spoonful  Ghost Dog   Dec-06-06 01:45 PM   #36 
     - (Compare & Contrast):  Ghost Dog   Dec-06-06 02:25 PM   #40 
  - An Entire Planet of Economic Knuckleheads (Mogambo)  54anickel   Dec-06-06 01:56 PM   #37 
  - Bretton Woods (Wiggin - since Mogambo brought it up)  54anickel   Dec-06-06 02:13 PM   #38 
  - Oh yeah.  Ghost Dog   Dec-06-06 02:22 PM   #39 
  - Been missing ya....  AnneD   Dec-06-06 02:40 PM   #41 
  - Yeah, I've noticed that. I still check in, though it may be long after the  54anickel   Dec-06-06 03:13 PM   #43 
  - Can't resist this Mogambo quote:  Ghost Dog   Dec-06-06 02:58 PM   #42 
  - Closin': Lethargically humping, it seems...  Ghost Dog   Dec-06-06 03:46 PM   #45 

Home » Discuss » Latest Breaking News Donate to DU

Powered by DCForum+ Version 1.1 Copyright 1997-2002
Software has been extensively modified by the DU administrators

Important Notices: By participating on this discussion board, visitors agree to abide by the rules outlined on our Rules page. Messages posted on the Democratic Underground Discussion Forums are the opinions of the individuals who post them, and do not necessarily represent the opinions of Democratic Underground, LLC.

Home  |  Discussion Forums  |  Journals |  Store  |  Donate

About DU  |  Contact Us  |  Privacy Policy

Got a message for Democratic Underground? Click here to send us a message.

© 2001 - 2011 Democratic Underground, LLC