LONDON, Sept 21 (Reuters) - The British pound fell almost 1.5 percent on Friday, hurt by Prime Minister Theresa May warning European Union leaders to come up with new alternatives to her Brexit proposals if they are to break a deadlock in the talks.
Sterling dropped to as low as $1.3076, almost two cents lower than where it started the day. Against the euro the pound tumbled 1.1 percent to 89.78 pence.
The internationally-exposed FTSE 100 rallied and British 10-year government bond yield extended its fall . (Reporting by Tommy Reggiori Wilkes, Saikat Chatterjee and Julien Ponthus; editing by Sujata Rao)