Sterling rises after strong UK services PMI

LONDON: Sterling rose against the dollar and euro while gilt futures extended losses on Tuesday after data showed activity in Britain's dominant services sector increasing at its fastest since November last month.

Sterling rose to a day's high of $1.6890 after the data from $1.6854 beforehand, up 0.15 percent on the day. The euro also weakened against the pound to a day's low of 79.330 pence.

British government bond yields rose and gilt futures extended earlier losses by around 10 ticks to hit a session low of 111.20, 26 ticks down on the day.

The pan-European FTSEurofirst 300 index hit a session high after the data and was trading 0.8 percent higher at 1,340.47.