The pound strengthened against the euro for the first time in five days as European stocks advanced and an index of commodities rose from a 16-year low, damping demand for Europe’s shared currency as a haven.
Sterling climbed from a level reached Monday that was its weakest in more than three months against the 19-nation single currency, amid a $2.7 trillion global equity wipeout. The pound touched a two-month high versus the dollar. The Stoxx Europe 600 Index of shares rose after plunging the most since December 2008 a day earlier. The U.K. currency extended gains after China cut its interest rates, in an attempt to stem the biggest stock market rout since 1996 and a deepening economic slowdown.
