Subject category:
Finance, Accounting and Control
Published by:
Asia Case Research Centre, The University of Hong Kong
Abstract
The Asian miracle turned into a nightmare in 1997. Thailand triggered the region's free-fall when the baht was delinked from the US dollar in July. This sent other Asian currencies tumbling as speculators took advantage of profit opportunities. Hong Kong was not immune to the regional woes. The first attack on the Hong Kong dollar began in earnest in October 1997. As the crisis in Asia worsened, the impact on the HKSAR deepened. Hong Kong's stock market took a pounding as speculators mounted three more attacks in 1998. Faced with this scenario and the prospect of a worsening economy, on 14 August 1998, the Government changed from being a passive regulator to an active market participant by accumulating large positions in local blue chip stocks
Location:
Other setting(s):
1997-1998
Subject category:
Finance, Accounting and Control
Published by:
Asia Case Research Centre, The University of Hong Kong
Length: 9 pages
About
Abstract
The Asian miracle turned into a nightmare in 1997. Thailand triggered the region's free-fall when the baht was delinked from the US dollar in July. This sent other Asian currencies tumbling as speculators took advantage of profit opportunities. Hong Kong was not immune to the regional woes. The first attack on the Hong Kong dollar began in earnest in October 1997. As the crisis in Asia worsened, the impact on the HKSAR deepened. Hong Kong's stock market took a pounding as speculators mounted three more attacks in 1998. Faced with this scenario and the prospect of a worsening economy, on 14 August 1998, the Government changed from being a passive regulator to an active market participant by accumulating large positions in local blue chip stocks
Settings
Location:
Other setting(s):
1997-1998
Related
Subject category:
Finance, Accounting and Control
Published by:
Asia Case Research Centre, The University of Hong Kong
Length: 9 pages