Hong Kong’s Unemployment Rate Forecast to Rise 4.1 Percent in 2016

Unemployment rate in Hong Kong is forecast to potential increase to 4.1 percent from 3.5% as the city’s economy is expected to continue to face challenges next year. Research house JP Morgan said the only hope for Hong Kong to sustain its economy is through a stable or improving financial market, as China’s economy will continue its slowdown. Morgan believes EPS downgrades will continue until the end of 2016 mainly in Macau gaming, Hong Kong property and the consumer sector. To a large extent, it believes the  “cheap” valuations in the Hong Kong market are yet to reflect this potential earnings  downgrade. – BusinessNewsAsia.com