Sterling on the back foot

The dollar is a touch firmer as House and Senate lawmakers in the US are set to begin working on a compromise tax bill, which they hope to send to President Trump by the end of the year. The euro is currently trading at $1.18 against the dollar while sterling is at just over 88p versus the euro

With little in the way of news on a breakthrough in the Brexit negotiations, EU officials yesterday stated that “the show is now in London” with the onus being placed on the UK for Brexit negotiations to progress

The Euro area final composite PMI was confirmed at 57.5 for November, indicating that economic momentum accelerated at its fastest pace of growth in 6 years. In contrast, the pace of growth in the UK’s dominant services sector slowed with the services PMI falling to 53.8 from 55.6 in October.

In other news Fed Chair-elect Powell won strong bipartisan support, an increasingly rare event, at a Senate Banking Committee vote yesterday, suggesting his appointment through the full Senate confirmation process should go smoothly

Light on the data front today with ADP employment in the US the main release of note