Sterling falls, gilts gain on weak UK factory data

LONDON: Sterling fell to a 3-week low against the dollar and gilts extended gains on Thursday after UK industrial output data rose much less than expected in March.

Sterling fell around 60 pips against the dollar to $1.6256, its lowest in 3-weeks and down around 0.5 percent on the day. The euro rose around 20 pips to a session high of 87.28 pence per euro.

The June gilt future extended gains by 10 ticks to touch a session high of 120.30 after the data.