The Hong Kong Monetary Authority stated on the 19th that there are many variables in the future direction of the Hong Kong dollar market and interbank lending rates due to factors such as carry trades, supply and demand of Hong Kong dollar funds, and other seasonal factors. It is necessary to manage related risks when carrying out real estate, investment, and lending activities. On the early morning of the 19th Beijing time, the Federal Reserve of the United States ended its two-day monetary policy meeting and announced that the target range for the federal funds rate would remain unchanged between 4.25% and 4.50%. The Hong Kong Monetary Authority responded to the Federal Reserve's interest rate decision by stating that the decision to maintain the interest rate unchanged is in line with market expectations. However, the market generally believes that there is still significant uncertainty regarding the pace of future interest rate cuts by the Federal Reserve. In Hong Kong, the currency and financial markets operate in an orderly manner. The Hong Kong dollar exchange rate strengthened in early May and triggered the "strong side exchange guarantee" under the linked exchange rate system. The Hong Kong Monetary Authority bought US dollars and sold Hong Kong dollars from the market in accordance with the linked exchange rate system. The overall balance of the banking system has correspondingly increased, causing the interest rate to fall. The widening interest rate differential between Hong Kong and the United States has triggered carry trades, causing the Hong Kong dollar to gradually approach the "weak side exchange guarantee" level of 7.85 Hong Kong dollars to 1 US dollar in the past few weeks. The Hong Kong Monetary Authority stated that if carry trades continue, it may further weaken the Hong Kong dollar exchange rate and even trigger the "weak side exchange guarantee". At that time, the Hong Kong Monetary Authority will buy Hong Kong dollars and sell US dollars according to the linked exchange rate system, and the total balance of the banking system will correspondingly decrease, while the Hong Kong dollar interbank interest rate will gradually rise. (New Society)