Option Traders Predict Temporary Hong Kong Dollar Volatility

The value of the Hong Kong dollar recently became more unpredictable, but this is likely temporary.

The cost to borrow money increased, causing the dollar's value to shift.

Traders believe this won't last long, because long-term measures of volatility are stable.

The Hong Kong dollar's rise led to investors closing their bets against it, and the central bank's actions seem to be working.

A lot of money was traded on the dollar's movement, more than on any other currency except for the euro.

This suggests that the market sees this as a short-term change.