The British pound slipped early on Wednesday after a poll showed a narrowing lead for Prime Minister Boris Johnso's Conservative Party in an election later in the week, while U.S. dollar movement looked to the Federal Reserve's policy meeting.

Investors were also focusing on what U.S. President Donald Trump will do with U.S. tariffs on nearly $160 billion worth of Chinese consumer goods, due to set in on Dec. 15. Investors have generally believed the tariffs would be at least postponed to salvage a trade deal with China.

Sterling fell 0.25% to $1.3122 , giving back about a cent after hitting an 8 1/2-month high of $1.3215 on Tuesday.

It also slipped to 0.8455 pound per euro, off its 2 1/2-year high of 0.8394 touched earlier this week. On the yen, it changed hands at 142.77 yen, down from Tuesday’s seven-month high around 143.39.

Source : Reuters