GBP/USD has broken above 1.1600. Economists at ING expect the pair to remain capped by the 1.1730/50 resistance area.

July GDP slightly softer than expected

“July UK GDP has come in slightly softer than expected at 0.2% month-on-month. However, the adjustment for the June bank holiday makes the figures a little difficult to read and we think the Bank of England (BoE) will take more notice of tomorrow's August jobs data for insight into how tight the UK labour market really is.”

“We are not particularly bearish on the dollar – thus we doubt GBP/USD makes it as far as the 1.1730/50 resistance area.” 

“EUR/GBP can consolidate in a 0.8650-08720 range after recent gains.”