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Fed rate hike could burst HK property bubble

Expected rise renews debate on whether it should maintain peg with the US dollar, as its ties with China grow closer

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Economists say government restrictions on borrowing mean there is unlikely to be the widespread bankruptcies and defaults seen after the Sars crisis in 2003. Still, mortgage holders are worried.

Hong Kong

BUOYED by record-low borrowing costs, a Hong Kong housing boom has seen prices more than double in six years, making it one of the world's most expensive property markets, but analysts warn a US interest rate hike could send valuations plunging.

The expected hike by the

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