HONG KONG, Sept 1 (Reuters) - The Hong Kong Monetary Authority (HKMA) stepped into the currency market and sold HK$6.2 billion ($800 million) in Hong Kong dollars on Tuesday as the local currency hit the strong end of its trading range.
According to the HKMA, the latest intervention will lift the aggregate balance - the sum of balances on clearing accounts maintained by banks with the authority - to HK$296.868 billion on Sept. 4.
The Hong Kong dollar is pegged at 7.8 to the U.S. dollar, but can trade between 7.75 and 7.85. Under the currency peg, the HKMA is obliged to intervene when the Hong Kong dollar hits 7.75 or 7.85 to keep the band intact.
$1 = 7.7500 Hong Kong dollars Reporting by Michelle Chen; Editing by Jacqueline Wong