Pound Drops Against Euro on U.K. Growth Concern; Gilts Decline
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The pound fell for the first time in three weeks against the euro as evidence the U.K. economy is struggling to grow damped demand for the nation’s assets.
The pound was little changed against the dollar after dropping to the lowest in more than three weeks. An Oct. 3 report showed a gauge of U.K. services rose at a slower pace than economists forecast last month, while the nation’s manufacturing industry shrank for a fifth month in September, according to separate data on Oct. 1. Government bonds fell after the U.S. employment rate unexpectedly slid to the lowest level in almost four years.