Network threat Protection - Blocking PowerShell Login to MS Compliance search via the Localhost browser address

Hi jp_2006,

Thanks for reaching out to the Sophos Community forum. 

For testing purposes, I would suggest creating a new Threat Protection Policy from Sophos Central. You can then add a scanning exclusion of the type "Website" with the IP address 127.0.0.1. Let me know if this allows authentication to work normally. 

That worked!

I added a website exclusion for "localhost" and "127.0.0.1" and that fixed it. 

Thank you.. I just couldn't figure out under what section to add it as there are so many places.. 

I'm glad I was able to help. 

You can find some helpful resources and details on each of the types of exclusions on the following page. Navigating to each of the links listed under "For more information on setting up exclusions..." will give you some helpful context on when to use each one.
- Global Exclusions