At 4.30 am ET Tuesday, U.K. CPI and PPI for December and house price index for November are set for release. Inflation is forecast to slow to 3 percent from 3.1 percent in November.

Ahead of these reports, the pound traded mixed against its major opponents. While the pound dropped against the greenback and the yen, it held steady against the franc and the euro.

The pound was worth 1.3783 against the greenback, 152.52 against the yen, 1.3299 against the franc and 0.8871 against the euro as of 4:25 am ET.

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