Economics
Pound Slides as Weak U.K. Factory Data, Political Risks Weigh
- Currency extends loss, touches two-week low versus dollar
- U.K. manufacturing gauge drops more than economists forecast
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The pound started the fourth quarter on a weak footing as slowing U.K. manufacturing growth, together with questions about Brexit and the stability of Prime Minister Theresa May’s leadership heading into the annual Conservative Party conference, weighed on sentiment.
Sterling dropped as much as 1 percent versus the dollar to reach a two-week low and weakened against all of its Group-of-10 peers. The U.K.’s manufacturing PMI fell to 55.9 for September from a revised 56.7 a month earlier, data showed earlier Monday. The data came after a report on Sept. 29 confirmed second-quarter economic growth was the slowest in four years on an annual basis.