Which overseas property markets will be the winners and losers if Fed raises US rates?

Comments by US Federal Reserve chairman Kevin Warsh at its annual economic policy symposium in Jackson Hole last month have reinforced expectations of an impending interest rate rise in the world’s largest economy, which would have significant impacts on assets and investors around the world.While the Fed kept its target rate in the range of 3.5 to 3.75 per cent at its meeting in July, Warsh’s comments last month about it having work to do in controlling inflation have heightened expectations of monetary tightening.In the wake of Warsh’s comments, analysts said several property markets were more sensitive to higher interest rates in the United States and some stood to benefit.Hong KongWith the local currency pegged to the US dollar in a trading band of HK$7.75 to HK$7.85, property agents said any Fed movement would be mirrored by the Hong Kong Monetary Authority (HKMA), the city’s de facto central bank.