Euro falls to 8-week low against sterling

The euro fell to an eight-week low against the pound this afternoon, extending a broad retreat, traders said.

The euro fell to an eight-week low against the pound this afternoon, extending a broad retreat, traders said.

Midmorning in New York, the euro fell to an eight-week low at 66.13 pence according to data.

The dollar has gained against the euro as traders bet on more aggressive US interest rate hikes this year than previously thought, putting the euro under broad pressure.

In addition, British manufacturing output rose for the first time in three months in April and at the sharpest rate in nearly two years, fueling expectations of a Bank of England rate rise on tomorrow.