China's NPC passes Hong Kong security law

Ross J Burland FXStreet

China's National People’s Congress passes the Hong Kong security law. This follows the decision in May to approve the controversial national security laws for Hong Kong, dealing what critics have called a “killer blow” to the city’s autonomy and freedoms.

The legislation, aimed at stamping out protests that have rocked the city for the past year, would ban “any acts or activities” that endanger China’s national security, including separatism, subversion and terrorism.

However, while critics have argued that the law will be highly damaging to investment in HK and would on;y deter business away from the financial district, the Global Times argues that certain foreign officials and media outlets have been hyping "concerns" among investors over the National Security Law:

End of Hong Kong's financial sector greatly exaggerated – Global Times

Market implications

In recent weeks there has been speculation that the 36-year old Hong Kong Dollar / USD peg breaks. Yohay Elam, Senior Analyst at FXStreet wrote in a long article on this here.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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