HKMA intervenes as Hong Kong dollar weakens, buys HK$1.5 billion

The Hong Kong Monetary Authority (HKMA) stepped into the currency market again on Saturday in US trading hours, buying HK$1.51 billion in Hong Kong dollars as the local currency repeatedly hit the lower end of its allowable trading band. The latest intervention will reduce the aggregate balance - the sum of balances on clearing accounts maintained by banks with the HKMA - to HK$74.8 billion on March 12, according to Reuters data.
The local dollar breached the weaker end of its trading range at 7.85 per US dollar for the first time in almost six months on March 6, and has hit that level repeatedly since. Under the currency peg, the HKMA is obliged to intervene when the Hong Kong dollar hits 7.75 or 7.85 to keep the band intact.