EUR/USD Surges Above 1.17 as ECB, BoE Hold Rates with Hawkish Hints

ECB and BoE held rates steady at 2.00% and 3.75% on May 1 amid Iran-driven oil spikes fueling inflation fears, but signaled possible June hikes if pressures intensify. Markets rallied risk-on: global equities hit records with S&P 500 and Nasdaq's strongest month in six years, EUR/USD broke above 1.17, and USD/JPY plunged 2.5% on Japanese intervention. Brent oil's volatility peaked at ~$126/bbl before easing to ~$114, amplifying moves; Danske forecasts two 25bp ECB hikes in June-July, though Lagarde's caution contained reactions.