Pound Little Changed Versus Dollar as House Prices Rise

U.K. government bonds fell, with two-year yields rising the most in two weeks, as an industry report showing British house prices increased in January reduced demand for safer assets.

Ten-year bond yields climbed toward the highest level in a week before the Debt Management Office auctions 1.75 billion pounds ($2.77 billion) of the securities tomorrow. Gilts also dropped as European stocks gained, boosting the appeal of higher-yielding assets. The pound fell for a seventh day versus the dollar before the Bank of England releases the minutes of its January meeting this week and the government reports economic growth for the fourth quarter.