The Hong Kong dollar interbank interest rates have fallen for two consecutive days, with rates for two weeks and below dropping below 4%.

On January 10, the Hong Kong dollar interest rates have been declining for two consecutive days, with short-term rates falling below 4% for the first time in two weeks. The overnight rate dropped by nearly 13 basis points to 3.87262%, hitting a new low in nearly four weeks. The one-month interbank rate related to mortgage lending also fell for three consecutive days to 4.09429%, the lowest since November 7, 2024. The three-month interbank rate, reflecting the cost of bank funds, slightly decreased to 4.10036%, reaching a new low in three and a half months. The rates for six-month and one-year terms both dropped to 4.09571%. On the market front, Jeff Schmid, President of the Federal Reserve Bank of Kansas City, expressed a preference for a slower pace of interest rate cuts. He believes that the Fed should gradually adjust its policies in the future and only react when there is a sustained change in economic data.