News report 💱 Forex 🌍 United Kingdom

GBP/USD Slips 1.7% Despite 0.7% UK GDP Growth Beat

GBP/USD holds above 1.3220 support after a 1.7% decline, as markets look toward next week's UK CPI and wage data to determine if the Bank of England will hike rates again in December or February.

📅 November 13, 2026 🕐 1 min read

2 assets impacted (Forex). Net bias: 1 Bullish, 1 Bearish, 0 Neutral. Strongest signal: GBP/USD ↓ 5/10 (65% confidence).

📊 Affected Assets (2)

GBP/USD

Bearish 🤖 65%

📅 Short-term 🌍 GB · Explicit

Despite 3Q UK GDP growth of 0.7% beating the BoE's 0.4% estimate and OIS pricing three more rate hikes, GBP/USD dropped 1.7% from Tuesday's pre-US CPI high and now holds just above 1.3220 support. The failure of strong data to lift the Pound signals positioning pressure toward the 1.3140 support. Next week's CPI and wage data are the key swing factors.

Catalysts

▼ CPI and wage data next week
▼ Potential BoE rate hike for a second time in December or February

Risk Factors

▲ Strong growth data keeps pressure on the BoE to hike, which could support the Pound
▲ Selling has taken a breather with support holding above 1.3220

EUR/GBP

Bullish 🤖 55%

📅 Short-term 🌍 EU · Explicit

With GBP/USD retreating sharply despite strong UK GDP data, the cross benefits as the Pound weakens broadly. The article cites EUR/GBP support at 0.8320, indicating the pair is being tracked near its lows while Cable selling eases.

Catalysts

▲ Pound's 1.7% drop against the Dollar spilling over into the cross
▲ UK CPI and wage data next week affecting relative rate expectations

Risk Factors

▼ BoE rate hike pressure from 0.7% GDP growth could reverse Pound weakness
▼ EUR/GBP support at 0.8320 may cap further gains

🧭 Full analysis of these assets

🎯 Key Takeaways

UK 3Q GDP growth reached 0.7%, exceeding the Bank of England's 0.4% forecast.
GBP/USD dropped 1.7% from Tuesday's pre-US CPI high, currently trading near the 1.3220 support level.
OIS markets are currently pricing in three additional rate hikes from the Bank of England.
EUR/GBP is finding support at 0.8320 as the Pound faces broad selling pressure.

📝 Executive Summary

The British Pound retreated sharply against the US Dollar, falling 1.7% from Tuesday's pre-CPI high despite 3Q UK GDP growth of 0.7% beating the Bank of England's 0.4% estimate. Societe Generale analyst Kenneth Broux notes that while strong data keeps pressure on the BoE for further rate hikes, the currency failed to capitalize on the positive surprise.

❓ FAQ

GBP/USD · Why did the Pound fall despite strong UK growth data?

UK GDP grew 0.7% in 3Q, beating the Bank of England's 0.4% estimate, yet GBP/USD reversed sharply with a 1.7% drop from Tuesday's high, suggesting the strong data was already priced in or overshadowed by other flows.

GBP/USD · What levels and events should I watch?

Support is at 1.3140 and resistance at 1.3310, with the overnight range at 1.3221-1.3242. Next week's UK CPI and wage data are the key events for Pound direction.

EUR/GBP · How does the Pound's weakness affect EUR/GBP?

As GBP/USD reversed lower despite strong UK data, a weaker Pound tends to push EUR/GBP higher, with the article flagging support at 0.8320 for the pair.

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