The Hong Kong Dollar firmed against the Pound as house price data out the UK showed a decline and as unemployment data showed that the number of people out of work in the city of Hong Kong remained stable.
The Pound softened against its peers after data released by Rightmove Plc showed that house prices in England and Wales dropped by 2.4% in November. Despite the negative data the Pound remained close to a three-week high against the US Dollar due to continuing to find support from last week’s positive Bank of England report. The currency is likely to make gains over the course of the week as investors await the publication of the Bank of England’s November policy meeting.
The Hong Kong Dollar edged higher due to finding support from China’s revelation that it will be embarking on its biggest economic reforms in 30 years. It also found support after unemployment in Hong Kong remained steady.
According to the Census and Statistics Department, unemployment in the city remained unchanged from the second quarter at 3.3% in the third. The CSD said that a resilient domestic market had allowed the labour market to remain stable. The data met economist expectations.
Despite the steady unemployment rate, Hong Kong’s Secretary for Labour and Welfare Matthew Cheung warned that the unsteady pace of the economic recovery’s seen in major advanced economies and the cloudy global outlook could weigh on the city’s labour market.
“Labour demand can be expected to stay strong in the run-up to the festive season, thereby boding well for labour market conditions in the near term,” Cheung said.
Hong Kong Dollar (HKD) Exchange Rate
As of 12:00pm
The Hong Kong Dollar/Pound Sterling is trading in the region of: 0.0800
The Hong Kong Dollar/US Dollar is trading in the region of: 0.1290
The Hong Kong Dollar/Euro is trading in the region of: 0.0955
Pound Sterling/Hong Kong Dollar is trading in the region of: 12.4917
US Dollar/Hong Kong Dollar is trading in the region of: 7.7499
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