Iceland's hopes of topping Group A have suffered a setback after they threw away a two-goal lead to draw with Latvia.

The hosts were ahead inside five minutes when Gylfi Sigurdsson's free kick was spilled by keeper Andris Vanins, allowing Kolbeinn Sigthorsson to poke the loose ball into the net.

Iceland looked to be cruising to victory when they doubled their lead on 27 minutes after Sigurdsson's surging run was rounded off with a shot into the bottom corner.

However, Latvia pulled a goal back on 49 minutes when Aleksejs Visnakovs cut the ball back from the byline and into the path of Aleksandrs Cauna, who scored from close range.

The visitors then got back on level terms with just under a quarter of the game left after Deniss Rakels found Valerijs Sabala, who volleyed past Hannes Halldorsson.

Sabala could have given Latvia the lead soon after when he fired wide of the target after forging a good shooting opportunity.

Iceland then squandered the chance to snatch victory in the dying moments when Birkir Saevarsson was denied by Vanins in stoppage time.