British pound tumbles as UK election gamble fails

The pound plunged Friday as Prime Minister Theresa May’s Conservatives lost their parliamentary majority in Britain’s general election, fuelling political uncertainty just days before the start of Brexit talks.

Sterling slumped to a seven-week low of $1.2636, while the euro hit a seven-month peak at 88.59 pence.

However, that propelled the London stock market higher as the weaker pound boosts multinational companies that earn in currencies other than sterling. Investors also brushed off news of a monthly rise in industrial output.