In a previous China Investment Strategy Special Report analyzing Hong Kong’s enormous private sector debt problem, we presented our BCA Hong Kong Debt Risk Monitor (DRM) to help investors gauge the risk of a serious credit-…
BCA Research's Foreign Exchange Strategy service examines various options available to the HKMA to adjust the HKD peg. On sensible option would be to peg the HKD to the Chinese RMB. The Hong Kong economy is now heavily…
Dear clients, The Foreign Exchange Strategy will take a summer break next week. We will resume our publication on September 4th. Best regards, Chester Ntonifor, Vice President Foreign Exchange Strategy Feature The economy of Hong…
The growing incursion of Beijing into the governance of Hong Kong is accentuating the woes of a stock market already hurt by its heavy exposure to financials. As a result, investors are increasingly questioning the relevance of…
Dear Client, In lieu of our regular report next week, I will present our view on China’s economic recovery, geopolitical risks, and implications on financial markets in two live webcasts. The webcasts will take place next Wednesday…
The global growth slowdown, the US-China trade war, the Hong Kong protests, and finally, COVID-19 have all dealt a severe blow to the HK economy. Naturally, fears have erupted along the way about whether the HKD peg will be able…
An analysis on Hong Kong is available below. Highlights The correction in EM risk assets and currencies will be larger than during the SARS outbreak. A number of market indicators that are pertinent for EM assets are sending a…
Highlights Investors should remain overweight global stocks relative to bonds over the next 12 months and begin shifting equity exposure towards non-US markets. Bond yields will rise next year as global growth picks up, while the…
Highlights Economic data suggest the current business cycle in China has not yet reached a bottom. Stimulus measures have not been forceful enough to fully offset a slowing domestic economy and weakening global demand. With possibly…
Even the groups that are least sympathetic to the protesters – political moderates, the elderly, low-income groups, and the least educated – are more or less divided over the controversial extradition bill that…