Hong Kong Market ends flat

14 Jun 2022 , 05:42 PM

Hong Kong share market finished volatile session with a flat note on Tuesday, 14 June 2022, as caution ruled the market ahead of the US Federal Reserves latest monetary policy decision to tame inflation in the worlds largest economy that is currently at a four-decade high. Meanwhile, concerns about supply disruption due to the re-imposition of restrictions in Beijing, Shanghai and other places also weighed down sentiments. At closing bell, the benchmark Hang Seng Index increased marginal 0.41 point to 21,067.99. The Hang Seng China Enterprises Index was down 0.09%, or 6.91 points, to 7,333.61. Markets dramatically increased bets on more aggressive U.S. interest rate hikes. Fast-changing views in financial markets have opened the door to a larger-than-expected three-quarter-percentage point interest rate increase at the Federal Reserves policy meeting this week. The Federal Reserve is scheduled to announce its latest monetary policy decision on Wednesday, with the central bank expected to continuing raising interest rates in an effort to combat inflation. The Fed is expected to hike interest rates by 50 basis points when it concludes its two-day meeting on Wednesday, and traders are piling into bets for a potential 75-basis-point hike in the coming months. One worry is that an aggressive push higher on rates by the Fed could send the economy into recession. Beijing is testing millions to stem the spread from a cluster infection at a 24-hour bar, with Chinas vice premier saying COVID prevention and control needs to be strengthened. Powered by Capital Market – Live News