Hong Kong's HKMA has purchased a total....>

HONG KONG: Hong Kong's HKMA has purchased a total of HKD33.70bln ($4.29bln)

worth of HKD with its foreign reserves since Thursday, in order to defend the

weak end of the HKMA's permitted USDHKD trading band

(7.75-7.85).

- RBC suggest that "the pace of HKD buying is not particularly aggressive

relative to history and there is plenty of scope for HKMA to continue purchasing

HKD and reducing the aggregate balance. Note that during the Asian Crisis, the

Aggregate Balance was sitting below HKD2bn, which meant that both the Aggregate

Balance and interbank interest rates were highly sensitive to speculative

attack. We are far from that."