The euro declined against other major currencies on Monday, pressured by political uncertainty linked to the European Parliament elections. The significant gains made by far-right parties across Europe have intensified concerns over the Parliament's ability to form the majorities needed by mainstream parties to pass laws.
French President Emmanuel Macron dissolved parliament and called for snap elections by the end of the month after Marine Le Pen's National Rally party won about 32% of the vote in France. Over the weekend, Belgium's Prime Minister Alexander De Croo announced his resignation following the poor results of his party in the elections.
At 7:29 am CET, the euro declined 0.45% against the pound sterling, trading at 0.84550 for the first time since late August 2022. At the same time, the euro lost 0.48% compared to the dollar, changing hands at 1.07500, reaching its lowest point in a little over four weeks.
