Danske Bank analysts said that UK GDP estimate for November will be decisive for whether the BoE will cut the policy rate at the January meeting and think this may lead to further GBP weakness, as it is not yet priced in.

"This week we are looking very much forward to the official signing of the US-China phase-1 trade deal (on Wednesday). In terms of economic data releases, we have some highlights worth mentioning: Swedish CPI inflation and US retail sales on Wednesday, ECB minutes on Thursday and US industrial production and Chinese economic indicators for retail sales, investments and Q4 GDP on Friday."