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The HK dollar ended little changed on Tuesday after moving in a narrow range. The currency was trading at 7.8149/51 against the US dollar, barely changed from 7.8151/52 in late Asia trade on Monday, after shuffling between 7.8138 and 7.8156.
"The market was pretty much rangebound. I had not seen any significant outflow of funds even after a downward correction in the stock market," said a dealer at a European bank. He expected the local currency to stick to its recent range of 7.8140 and 7.8160 in the near term.
Hong Kong stocks slipped on Tuesday, with the blue chip Hang Seng Index down 0.56 percent and the China Enterprises index of H shares falling 0.9 percent as investors booked profits in mainland financials following their recent rebound. The Hong Kong dollar is pegged at 7.80 to the US dollar but can trade between 7.75 and 7.85.

Copyright Reuters, 2007

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