In a hard-fought encounter at Bramall Lane, substitute Sergio Aguero again proved the difference, firing home a sublime Kevin De Bruyne assist on 73 minutes to clinch a vital 1-0 win.
And Guardiola said it spoke volumes about the character of his side for whom central defender Aymeric Laporte making a first appearance in five months after a serious knee injury.
“The response is always good,” said the City manager.
“It’s is a tough place to come but we controlled it and won the game at the end and we had more chances to score.
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“After a defeat or draw the response is always good from the guys and we are so happy as we know what it is to play here.”
The one frustration on the night for City was a first half penalty from Gabriel Jesus which was saved by Sheffield United keeper Dean Henderson.
With Jesus, Aguero and Raheem Sterling all having missed from the spot this term, Guardiola said it was an issue he would ponder on.
“Definitely it is a concern and I have to reflect about it,” the boss added.
“It’s something we will talk about. At this level it is so important.”
Guardiola says he already has an idea who will become City’s permanent penalty-taker – but says no one is more deadly than his goalkeeper.
“Ederson is the best,” he added. “Believe me, he’s the best taker we have in penalties. Eddie has no blood in his veins. He’s so calm, so he could do it.”