Though markets expected that falling inflation could further postpone BoE rate hike, Carney in its recent interview said that there will be rise in interest rates in foreseeable future. Regarding falling inflation Carney said it was "good news for British households" as "lower prices at the pump and in the shops" eased pressure on family finances. He added that he expects inflation "to continue to drift down in coming months".

US session was marked by CPI, Industrial Production and Consumer Confidence figures. US CPI decreased 0.4% in December on a seasonally adjusted basis. Analysts were forecasting 0.3% decline. Over the last 12 months, the all items index increased 0.8% before seasonal adjustment. Core CPI was unchanged in December, following a 0.2% increase in October and a 0.1% rise in November. Analysts were predicting 0.1% rise.

Industrial production decreased 0.1% in December after rising 1.3% in November. Analysts were anticipating 0.1% growth. The decrease in December reflected a sharp drop in the output of utilities, as warmer-than-usual temperatures reduced demand for heating; excluding utilities, industrial production rose 0.7%. Manufacturing posted a gain of 0.3% for its fourth consecutive monthly increase. The index for mining increased 2.2 percent after falling in the previous two months.

While analysts were anticipating incline to 94.2 points, Prelim UoM reading on Consumer Sentiment showed incline to 98.2 points. This is the highest level in 11 years as steady job gains and plunging gas prices brightened the outlook for U.S. households.

It should be a steadier Monday's session for Sterling with no data releases both from UK and USA. Also, volatility should be narrowed since markets will be cautious ahead of UK job figures and BoE Meeting Minutes. There will also be no data releases from USA, with banks being closed in observance of Martin Luther King's Day.