GBP/USD Supported as UK GDP Beats Expectations at 0.7% Growth

GBP/USD is finding support following a better-than-expected UK GDP report showing three-month rolling growth of 0.7%, comfortably beating the 0.5% consensus estimate. Monthly GDP for May came in at a modest 0.1%, driven primarily by a rebound in the services sector, which remains the backbone of the UK economy. While the monthly figure suggests only marginal expansion, the stronger three-month trend provides a more encouraging picture of the UK's economic trajectory. Traders are now turning attention to key events in the US session, which could shape cross-Atlantic rate differentials and directional moves in cable. The data reduces the urgency for further Bank of England easing in the near term, potentially supporting the pound against its major counterparts. For GBP/USD, traders should monitor whether the pair can sustain gains above key technical levels as broader market sentiment, particularly around US inflation data and Fed policy expectations, continues to drive dollar-side dynamics. The EUR/GBP cross may also see renewed selling pressure on relative UK economic outperformance.