Hong Kong central bank cuts interest rate after Fed move

HONG KONG (Reuters) – The Hong Kong Monetary Authority (HKMA) on Friday cut its base rate charged via the overnight discount window by 25 basis points to 5.0%, tracking a move by the U.S. Federal Reserve.

Hong Kong’s monetary policy moves in lock-step with the United States as the city’s currency is pegged to the greenback in a tight range of 7.75-7.85 per dollar.