Sterling falls after British inflation data

LONDON: Sterling fell against the dollar and eased towards a one-month trough versus the euro on Tuesday after data showed annual British inflation slowing in November to its lowest level in four years.

Sterling dropped to $1.6297 after the data was released from around $1.6315 beforehand to leave its broadly flat on the day. The euro rose to 84.485 pence from 84.405 pence, and not far from a one-month high of 84.55 pence struck on Monday.

Gilt futures pared losses marginally after the data, and at 0932 GMT stood at 107.76, around 6 ticks higher than before the data.