Watching the HKD drift amidst regional uncertainty

The $HKD has been an interesting one to observe lately, particularly with it trading around 1.7 -1.16% on the day, having bumped between 1.695 and 1.73. It's not a massive move by any stretch, but the persistent weakness, even with the HIBOR staying relatively elevated, just makes me wonder how much of this is pure rate differential and how much is underlying capital flow. It's clear the Fed's stance on rates is the elephant in the room for a lot of Asian currencies pegged or semi-pegged to the dollar. I'm keeping an eye on it not for a direct trade, but as a canary in the coal mine for broader sentiment towards the region, especially how it might impact the capital flight narrative. If we see a more sustained break, it's going to open up some questions about the stability of the peg and potentially trigger a wider ripple effect in EM FX. Not making any calls yet, just watching the tea leaves there for broader cross-asset implications.