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Pound Drops as Report Shows Corporate Alerts Surged; Gilts Fall

The pound fell after an industry survey showed company profit alerts surged last quarter, adding to signs the U.K. economy is losing momentum.

Sterling dropped against 12 of 16 major counterparts tracked by Bloomberg amid speculation Bank of England minutes this week will signal policy makers are leaning toward further asset purchases, known as quantitative easing. The pound dropped against the euro and gilt yields rose to a six-week high as French Finance Minister Francois Baroin said negotiations on Greek debt are making “tangible progress.” Thirty-year bonds slid before a sale of 2052 bonds through banks this week.