Euro Falls as Russia Risk, France Protests Dent Trader Sentiment

The euro fell against most of its Group-of-10 peers as escalating tensions in Ukraine and widespread protests in France dented sentiment toward the common currency.

The euro weakened as much as 0.5% versus the dollar in early Asia Monday after Ukrainian President Volodymyr Zelenskyy accused President Donald Trump of trying to pressure Kyiv into surrendering to Russia. Over in France, protests in several cities descended into clashes between police and demonstrators, sparking some of the country’s worst street violence in years.

The shared currency dropped as low as $1.1183 before paring some losses to trade around $1.1212 as at 7:02 am in Singapore.

“Markets are likely to keep pricing a risk premium in the euro,” said Carol Kong, strategist at Commonwealth Bank of Australia. “Euro-dollar can test support at 1.1130 this week, especially if the greenback lifts further on geopolitical tensions.”

Europe’s mounting geopolitical strains are undermining the euro at an already difficult moment, with high energy costs threatening growth and keeping inflation risks alive. That leaves the currency vulnerable to further losses should the geopolitical backdrop worsen.

The euro has underperformed all its G10 peers over the past one month, and it fell to the lowest since May 2025 last week.