GBP/USD jumps above 1.3400 after UK final GDP revised up to 16% QoQ in Q3
- UK GDP rebounded 16.0% QoQ in Q3 vs. 15.5% expected.
- UK Current Account deficit stood at GBP15.6 B in Q3.
- GBP/USD bounces-back above 1.3400 on the mixed UK data.
The final reading of the third quarter 2020 UK GDP came in at 16.0% QoQ vs. 15.5% expected and 15.5% last while on an annualized basis the figure stood at -8.6% vs. -9.6% expected and -9.6% seen previously.
The Current Account numbers for Q3 came in at GBP-15.6 B versus GBP-11 B expected and GBP -2.8 B prior.
Meanwhile, the Total Business Investment arrived at 9.4% QoQ in Q3 vs. 8.8% previous and 8.8% expectations.
The Cable picks up fresh bids and jumps to 1.3414, in reaction to the upbeat UK GDP numbers. The spot was last seen trading at 1.3407, still down 0.45% on the day.
About UK GDP
The Gross Domestic Product released by the National Statistics is a measure of the total value of all goods and services produced by the UK. The GDP is considered as a broad measure of the UK economic activity. Generally speaking, a rising trend has a positive effect on the GBP, while a falling trend is seen as negative (or bearish).
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
