Pound sinks to 2-week lows over Brexit worries

The pound slipped more than 0.3% at $1.3125 by 0745 GMT while against the euro it touched 0.90 pence, also a two-week low.

LONDON: Sterling sank to two-week lows against the dollar on Tuesday, extending losses as fears grew that Britain is preparing to undercut its Brexit divorce treaty and potentially torpedo its trade talks with the European Union.

The latest round of negotiations starts on Tuesday but the EU has warned there there will be no trade deal if Britain tries override parts of the Brexit Withdrawal Agreement it signed in January, jeopardising the whole treaty and creating frictions in British-ruled Northern Ireland.