Lates News

Morgan Stanley indicates that the Hong Kong Interbank Offered Rate (Hibor) may rise to the 3% range. Driven by low balances and market positioning adjustments, the 1-month Hibor has jumped from 0.91% to 2.86%. Historical relationships between total reserves and Hibor suggest that the 1-month Hibor could be around 3.5-3.8%; however, with market expectations of the Federal Reserve easing monetary policy, this rate may decrease.