Here's why the Trump administration's threat to hurt Hong Kong's dollar peg won't work

China has the world's largest foreign exchange reserves — at around $3 trillion, according to Reuters.

"Hong Kong and China's central government are prepared for this," ANZ's Yeung wrote, referring to the possibility of the U.S. undermining the peg. "Hong Kong's Financial Secretary Paul Chan has stated that even if the US takes measures to make Hong Kong dollar settlement inconvenient, the government has a contingency plan," he added,Analysts point out that banning Hong Kong from buying up U.S.

"To isolate Hong Kong from Wall Street and the dollar system could severely impair the HKD peg and Hong Kong's global financial center status, resulting in capital exodus," they said. DBS analysts said: "Given Hong Kong's importance as the third largest forex centre and its status as an international financial centre closely integrated with the global economy and financial system, it is improbable that the US would deny Hong Kong access to the USD clearing system."Demand for the Hong Kong dollar has surged this year, despite fears the peg could be threatened on the back of those U.S.-China tensions.

Take a look who is the writer. Let’s see in next a few weeks.

CCP is talking🤔

OK lets try it then

Just like any Trump project😂😂😂

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