As has been the case since August, the market no longer expects the BoE to cut rates at the November policy meeting. Currently market implied policy rates suggest that 2 bps of easing is expected on a 1-month view and 12 bps in 3 months, Rabobank's FX analyst Jane Foley reports.
The US Dollar Index (DXY), which tracks the Greenback against a basket of currencies, is seen extending the overnight pullback from the vicinity of its highest level since early August, touched last week, and drifts lower for the second straight day.
China releases its latest Consumer Price Index (CPI) and Producer Price Index (PPI) inflation metrics early Wednesday at 01:30 GMT, and will be providing markets with a much-needed update on potential trade war fallout between China and the US as trade tensions between the two giants ramps up once a