HK stocks hit 3-1/2 year low on worrying slump in currency

* Hong Kong dollar slumps towards weaker end of trading band
* Concerns of higher interest rates due to intervention
weigh
* Interest rate swaps jump sharply
* Property and resources shares particularly hit
(Adds background, recasts introduction)
HONG KONG, Jan 20 (Reuters) – Hong Kong’s stock market
closed at a 3-1/2-year low on growing concerns a weakening local
currency would force the central bank to tighten monetary
policy, adding to the economic headwinds already buffeting the