Pound Slides as UK Earnings Growth Slows

Sterling fell slightly on Tuesday after UK data showed a slowdown in average earnings growth for the three months to August, hinting at potential gradual interest rate cuts by the Bank of England. The pound declined 0.2% against the dollar and weakened further against the euro.

Sterling experienced a minor decline on Tuesday following new data that revealed a marginal slowdown in average earnings growth in the UK for the three months leading up to August.

This economic indicator suggests the Bank of England might continue to reduce interest rates, though any cuts are likely to be gradual.

The pound decreased by 0.2% compared to the dollar, priced at $1.3309, while also weakening against the euro, which surged 0.3% to 87.03 pence, marking its largest daily gain in nearly a month.

(With inputs from agencies.)