German Commercial Bank: UK growth data bullish for the pound.

Michael Pfister of Deutsche Bank stated in a report that despite ongoing challenges in the German economy, the better-than-expected November economic growth data released on Thursday provided a positive signal for the pound. The data showed that the country's economy grew by 0.3% in November. Pfister said that despite concerns about fiscal austerity brought on by the November budget, the country's economy has shown steady growth. He stated that concerns about an economic downturn and larger rate cuts may be premature. However, he also pointed out that monthly growth data is just one data point. He mentioned that labor market and inflation data will be released next week, with the latter playing a particularly decisive role in the pound's performance in the coming weeks. The pound rose by 0.2% to $1.3402, while the euro fell by 0.2% to 0.8661.