Hong Kong Buys $6.85 Billion in April to Defend Currency Peg
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Hong Kong’s de facto central bank bought U.S. dollars for the second day in a row to maintain the local currency’s peg, taking this month’s purchases to $6.85 billion.
The Hong Kong Monetary Authority bought $1 billion on Tuesday at HK$7.75 a dollar, the upper limit of a convertibility range that triggers intervention. That came after it accumulated $1.5 billion on Monday. Purchases to date in April are equivalent to more than two-thirds of the $9.72 billion acquired when the currency link was last tested in July and August last year, data compiled by Bloomberg show.