- The Fed lifted its benchmark rate by a quarter point at its meeting on Wednesday, the second leg of the tightening path now steering Hong Kong borrowing costs.
- HSBC and other major Hong Kong banks left their prime rates unchanged, so the Fed move transmits to local mortgages with a lag rather than on contact.
- JLL Hong Kong chairman Joseph Tsang said the decision has no immediate impact on the local property market and the outlook hinges on whether US rate hikes continue.
- Agents report some sellers and buyers already positioning for prime rate increases later, a shift that would test the market's relatively fragile recovery.
Quotes
“However, the market outlook depends on whether US rate hikes will continue.”
“The decision should have no immediate impact on the local property market”