Hong Kong’s mortgage rate hit the capped 3.5 percent on Tuesday as the Hong Kong interbank offered rate jumped, pushing the local currency to above the middle of its trading band.
The interest rate of most mortgage plans in the market, which is tied to the one-month Hibor, has increased to the upper limit as the interbank rate soared by 56 basis points to a fresh over-three-month high of 2.574 percent.
The overnight, one-week, and two-week rates all increased to above 2 percent. The three-month Hibor also went up 39 basis points to 2.574 percent.
The Hong Kong dollar also strengthened to around 7.8 against the greenback, the middle of its 7.75-7.85 trading band.
