Bass Said to Eye 200-to-1 Leverage for New Bet on Hong Kong Crash

The video discusses the speculation around the potential collapse of the Hong Kong dollar peg, highlighting market views and the leverage involved in bearish bets. It reviews the historical resilience of the peg since the 1980s, despite various financial crises. The Hong Kong government, supported by the Chinese government, remains committed to defending the peg, even amid potential US sanctions. Currently, the Hong Kong dollar is strong, trading at the upper end of its range, with the HKMA intervening to maintain stability.

What is the market's perception of the bet on the Hong Kong dollar peg collapsing?

• A safe investment

• A guaranteed profit

• A lottery ticket

• A low-risk venture

When did the Hong Kong dollar peg to the US dollar begin?

• In the 2000s

• In the 1970s

• In the 1990s

• In the 1980s

What major event in 1997 tested the Hong Kong dollar peg?

• The Asian financial crisis

• The handover of Hong Kong

• The global financial crisis

• The SARS outbreak

What action has the HKMA taken to maintain the Hong Kong dollar's strength?

• Increasing interest rates

• Selling Hong Kong currency

• Decreasing interest rates

• Buying US dollars

What potential challenge could affect the Hong Kong dollar peg according to Financial Secretary Paul Chan?

• A natural disaster

• US sanctions

• A stock market crash

• A housing market collapse