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"For years, Causeway Bay has long been a magnet for shoppers worldwide and the summer is traditionally a peak season for retailers in the area," said Henry Jong, senior regional sales director of Centaline Commercial, a realty agency.

"From January to September, new home sales volume declined 6.7 percent year-onyear in major first- and second-tier cities, and more than 60 percent of transactions in cities saw price drops last month," said Zhang.

"Given the unprecedented speed of the slump in equity prices, it has been suggested that stock exchanges might be closed soon if things don't turn around," research house Capital Economics said in a note on Tuesday.

"Fiscal policy is a way to direct relief to particular populations and groups," said the Fed chief. "We do think fiscal response is critical, and we're happy to see that those measures are being considered, and we hope that they are effective."

"Foreign-funded companies should not be worried," he said.