| Hong Kong Monetary Authority boss Norman Chan is a worried man. On Friday he warned that Hong Kong's financial markets will suffer heightened volatility when the US Federal Reserve begins to scale back, or taper, its current programme of quantitative monetary easing.
Some HK$100 billion in liquidity has flowed into the city's banking system since the outbreak of the 2008 financial crisis, Chan said. When the US monetary cycle turns, that money will "inevitably" begin to flow out again, putting pressure on local asset prices...............................................Full Article: Source
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