EUR/GBP Fails at 0.8610 Amid Oil Price Surge and Hawkish BoE Stance

The EUR/GBP currency pair has failed to break through the 0.8610 resistance level, resulting in a decline to session lows at 0.8690. The market sentiment remains fragile due to the US rejection of Iran's ceasefire plans and rising oil prices.

BoE Governor Andrew Bailey stated that it is becoming increasingly difficult to keep interest rates on hold amid rising price pressures. This hawkish stance by the Bank of England has boosted hopes for a monetary policy tightening despite weak economic momentum.

The Middle East conflict remains unpredictable, with oil prices ticking higher above $98.00 per barrel. This poses additional pressure on already troubled Eurozone economies.