LONDON World shares tapped the brakes on Tuesday as oil prices eased back from their highest level of the year, while Britain’s sterling took another dive as UK and EU ministers traded fresh Brexit blows.
The dollar .DXY was on the rise again as growing expectations of a U.S. rate hike before the end of the year pushed up Treasury yields IT10YT=TWEB – the benchmark for the world’s borrowing costs – to the highest since early June.
European bonds managed to resist the selling but stocks .FTEU3 could not.
They were down 0.2 percent .FTEU3 despite broadly reassuring German sentiment data and a push towards a record high from London’s FTSE .FTSE as the pound’s tumble continued to improve the look of its international firms’ profits. [.EU]
Sterling was back under $1.23 GBP= and 90 pence per euro EURGBP= while the dollar .DXY muscled its way to an 11-week high as the rising rate hike bets…