EUR/USD gains as German GDP beats expectations at 0.4% q/q

EUR/USD has strengthened following Germany's Q1 final GDP release showing 0.4% quarterly growth, doubling the expected 0.2% and improving from the previous 0.2%. This upward revision from preliminary estimates reflects the positive impact of ECB rate cuts and fiscal stimulus measures on Europe's largest economy. The stronger-than-expected growth data reinforces the eurozone's economic recovery trajectory and may influence ECB policy decisions in upcoming meetings. Market participants are pricing in continued economic improvement, with the data suggesting momentum building across the region. Technical indicators show EUR/USD testing resistance near 1.0950, with support established at 1.0900. The positive GDP surprise could attract further euro buying, particularly if upcoming eurozone data confirms the growth trend. Traders should monitor ECB communications for any shift in monetary policy stance given the improving economic backdrop.