Sterling slides as BOE rams home easing message

London

STERLING fell half a per cent to a one-month low against the US dollar on Tuesday, by far the biggest mover on major currency markets after the Bank of England's (BOE) sole policy hawk signalled his willingness to ease further.

The dollar inched up 0.1 per cent against the basket of currencies used to measure its broader strength, amid increasing expectations that the US Federal Reserve could raise interest rates later this year. It was up 0.1 per cent at US$1.1076 per euro and flat at 102.465 yen.