Hong Kong will finish its decades-long observe of shutting its markets throughout typhoons and main storms beginning on Sept. 23.
There was broad help to permit buying and selling in excessive climate and to observe different cities, Chief Government John Lee stated at his weekly press convention. There will probably be ample time within the transition interval, he stated.
Town has been an outlier amongst main monetary hubs in having guidelines to shut markets throughout extreme climate. The observe was seen as more and more antiquated after the pandemic years confirmed markets may perform at the same time as most staff have been caught at dwelling.
Usually 5 to eight typhoons hit the town annually, however not all convey visitors and colleges to a halt.
The native authorities pushed onerous on the change and urged coordination among the many inventory alternate, securities regulator and the central financial institution at the same time as many smaller brokers voiced their opposition due to prices and difficulties in remaining open.
“I believe that it’s a positive development for the Hong Kong market by removing a source of uncertainty about access to market and liquidity,” stated Redmond Wong, chief China strategist at Saxo Markets.
The buying and selling halt additionally drew criticism as a result of it stops flows by means of Inventory Join that hyperlinks to markets in Shanghai and Shenzhen. An common of 125 billion yuan ($17.2 billion) a day traded northbound and HK$56 billion ($7.2 billion) southbound on the hyperlink in Could.
