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

Ross J Burland FXStreet

The Global Times has reported that the Stock Exchange of Hong Kong (HKEX) is set to welcome six IPOs this week.

The article sets out to debunk the fearmongering headlines over the city's prospects in the lead up to the National Security Law.

Lead paragraphs

The Stock Exchange of Hong Kong (HKEX) is set to welcome six IPOs this week, the most in a single week for the city in over four months, highlighting the persistent attractiveness of the financial hub among companies and investors, despite fearmongering headlines over the city's prospects in the lead up to the National Security Law.

The six IPOs this week could raise a combined total of $1.7 billion and mark the busiest week since February, Bloomberg reported.

The companies include e-cigarette device maker Smoore International Holdings, which is expected to raise about $919 million, and property management arm of Zhenro Properties Group, according to Bloomberg.

The Global Times argues that the IPOs come as certain foreign officials and media outlets have been hyping "concerns" among investors over the upcoming National Security Law, with some even claiming the end of Hong Kong as a global financial and commerce hub with foreign investors and business predicted to flee the city.

'This is completely false, and contrary to reality. Most of my friends and myself are not willing to stay in Hong Kong unless a national security law is enacted,' Angelo Giuliano, a financial consultant in Hong Kong from Switzerland who has been outspoken in condemning the unrest in the city, told the Global Times on Monday.

Giuliano said that after months of violent riots, Hong Kong needs a national security law to protect the city and its citizens against the violence, terrorism and foreign interference. 'We really need to get this law to restore peace and prosperity to Hong Kong,' he said.

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.

GBP/USD clings to small gains near 1.3450 after UK jobs data

GBP/USD trades in positive territory at around 1.3450 in the European session on Tuesday. The UK ILO Unemployment Rate remained at 4.9% in the three months to May, compared with expectations of 5%, but failed to provide any impetus to the British Pound's renewed uptick. Traders stay cautious amid US-Iran uncertainty and the UK political transition.

EUR/USD keeps range above 1.1400 after German ZEW

EUR/USD is keeping its range above 1.1400 in Tuesday's European session, as the US Dollar (USD) retreats following Monday's rebound. Nevertheless, the uncertainty around the US-Iran conflict limits the pair's upside. Meanwhile, the Euro (EUR) pays little heed to the strong German sentiment data, as traders await Thursday's European Central Bank policy announcements, which could drive the Euro's near-term valuation.

Gold extends recovery toward $4,100

Gold gains traction following Monday's choppy action and advances toward $4,100 on Tuesday. However, the uncertainty surrounding the conflict in the Middle East and growing expectations for a hawkish Federal Reserve policy outlook could make it difficult for the precious metal to gather bullish momentum in the near term.

Bitcoin extends advance as ETF inflows, Iran war mediators' proposal lift risk mood

Bitcoin extends its gains, trading above $65,800 after closing above the key technical hurdle the previous day. The bullish price action is further supported by the return of institutional demand, with spot Exchange Traded Funds continuing their inflows on Monday. In addition, the renewed hopes for peace between the US and Iran have lifted risk sentiment, providing an additional tailwind for the Crypto King.

Buy the dip on the Dow Jones and S&P? Forex Trading Gold descending triangle

Trading during a war, a pandemic, during trade disputes, and other geopolitical events, especially when some major players are sociopathic, can be quite challenging. The Iran war is no exception. The Iran war is no exception.

US Dollar mid-year outlook: Exceptional currency, exceptional risks?

The US Dollar enters the second half of 2026 in a markedly different position from a year ago. The King currency has recovered, reflecting persistent US inflation, changing expectations for Fed policy, geopolitical tensions and renewed demand for defensive assets.