Whenever there is a problem with the world's economy or China’s economy or the financial market experiences turbulence, Hong Kong – a city-state's economy with close ties to both USD and RMB will be torn apart.

Anbound’s scholars point out that the global financial market is extremely volatile – the increased downward pressure on China’s economy and the pressure from RMB depreciation in particular have serious impacts on Hong Kong’s linked exchange rate system (LERS).

How long could the LERS hold out? The outlook seems precarious.