Euro Falls 0.37% Against USD on Iran Optimism and Lagarde Remarks

The euro weakened against the US dollar late in the North American session on Monday, losing 0.37%. The move was driven by optimism surrounding US-Iran negotiations, which supported demand for the greenback.

Separately, European Central Bank President Christine Lagarde surprised markets with comments that played down the risk of second-round inflation effects, dampening expectations for a more hawkish ECB stance. The combination of USD strength and a less aggressive ECB outlook weighed on the common currency.