Retendering21-22

ago25 “High-end” Chinese consumers may be accounting even for strength in Macau’s base-mass gambling segment, says a note from JP Morgan Securities (Asia Pacific) Ltd. Factors could include a “recent liquidity boom” in Hong Kong which had seen “huge” oversubscriptions in initial public offerings (IPOs) there, and a “plunging” Hong Kong Interbank Offered Rate (HIBOR) in relation to borrowing. That “likely eases access to Hong Kong dollars for some, spilling over into Macau,” wrote analysts DS Kim and Selina Li in a Monday memo. Most Macau gambling bets are denominated in Hong Kong dollars. Additionally, China’s currency the yuan had seen a circa “4 percent appreciation since April lows,” which “has helped Chinese spending power in Macau,” added the institution . A recent note from banking group Morgan Stanley also raised the possibility that recent Chinese government efforts “addressing overcapacity, price wars, and deflationary pressures” in the mainland economy could be helping profit...