By South China Morning Post | Created at 2026-09-18 07:22:50 | Updated at 2026-09-18 08:43:09
1 hour ago
The US Federal Reserve raised its benchmark interest rate by a quarter of a percentage point this week, followed by the Hong Kong Monetary Authority and the Bank of Japan, while the 10-year US Treasury yield fell back below 5 per cent.
Here are some of the figures that have drawn the most market attention this week.
Fed raises interest rates for first time since 2023
The US Federal Open Market Committee voted unanimously on Thursday to
raise rates by 25 basis points to a target range of 3.75 to 4.00 per cent. This marked the central bank’s first rate increase in three years, as Federal Reserve chief Kevin Warsh pledged to tackle inflation that had been “too high” for “too long”.
10-year US Treasury yield drops below 5 per cent
Following the Fed’s announcement, the US 10-year Treasury yield fell to about 4.94 per cent on Friday, retreating below the crucial psychological threshold of 5 per cent reached earlier in the week for the first time since 2023.
Hong Kong ranks as No. 3 global financial centre
The Hong Kong Monetary Authority raised the city’s base rate to 4.25 per cent in response to the Fed’s move, even as the city’s three note-issuing banks – HSBC, Bank of China (Hong Kong) and Standard Chartered – kept their prime lending rates unchanged.
The city also retained its status as Asia’s top financial hub for a fourth consecutive edition of the Global Financial Centres Index, which evaluates five main categories: business environment, human capital, infrastructure, financial sector development and market reputation.
Hong Kong scored 756 this year, just one point behind London on 757, while New York topped the index with 761. Singapore ranked one spot below Hong Kong with 755.
