The United States Federal Reserve is unlikely to raise interest rates when its policy-setting committee meets this week.
Also, the possibility of a December liftoff is small, the Hong Kong Economic Journal reports, citing Bank of China (Hong Kong) Ltd. economist Zhuo Liang.
The Federal Open Market Committee is scheduled to meet from Oct. 27 to 28.
If the European Central Bank decides to expand its quantitative easing, the Fed may increase the federal funds rate by a quarter percent in December, Zhuo said.
However, an interest rate hike cycle is unlikely, he said.
Zhou said any mild increase in December will have little impact on the Hong Kong stock market after the Fed ended its asset-buying program.
The property market is also unlikely to see any significant negative effects.
Meanwhile, capital flows will depend on the Chinese economy and monetary policy, he said.
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