The Hong Kong Dollar was weaker against the U.S. greenback and Pound Monday as ongoing protests in the City after another weekend of protests in the city toked fears for the future of the financial centre, although some analysts say that further losses from current levels should be limited.
The Dollar rebounded strongly on Tuesday as currency market roles appeared to reverse in the wake of the Chinese Renminbi devaluation seen at the beginning of the new week, although the outlook is still shrouded in uncertainty as analysts contemplate the odds and implications of a possible 'currency war'.
The Pound-to-Dollar exchange rate is trading at around 1.2157 at the time of writing after falling 1.8% in the week before. Studies of the charts suggest the pair will continue falling in line with the dominant downtrend.
The Dollar appeared to stabilise Friday as investors bid for the currency in the wake of a nonfarm payrolls report that revealed ongoing strength in the jobs market through July, which some say vindicates the Federal Reserve (Fed) for its decision to be cautious in cutting interest rates.
The Pound-to-Dollar stabilised Thursday as the greenback capitulated near to a 2019 high and sank rapidly to an intraday loss after President Donald Trump said he will impose fresh tariffs on China's remaining exports to the U.S. from September 01.
The Pound ceded ground to a resurgent Dollar Thursday and is now tipped for a return to its 2016 "flash crash low" after the Federal Reserve (Fed) breathed new life into the greenback when it appeared to suggest it might not cut U.S. interest rates this year as much as the markets were anticipating.