02.12.201421:54:52UTC+00British pound plummets as construction adds to stagnation signs

The British pound declined against the US dollar as UK construction slowed more in November, adding to signs of slowdown in the euro region was hampering the fastest growing economy in the Group of 7.

Markit Economics Ltd. said the purchasing managers index for construction output improved at the slowest pace in over a year.

“The major risk and concern is the slowdown in Europe and how much of an impact that has on the UK. It’s still a positive-dollar story,” said Peter Dragicevich, Currency Strategist at Commonwealth Bank of Australia.

Sterling slipped 0.6% to $1.5637 at 4:43 p.m. (London time) after falling to $1.5586 yesterday, the weakest since September 2013. It was slightly changed at 79.21 pence per euro.