The euro nudged higher on Monday after Germany's opposition conservatives won the national election as expected, while the dollar trod water amid worries over the growth outlook for the U.S economy. Friedrich Merz was set to become Germany's next chancellor after his party emerged victorious in Sunday's election,

The German election may fuel optimism about potential fiscal policy reform, which is expected to revitalise Europe's largest economy. The euro and the DAX could strengthen further amid the projected result.

The euro posted gains early on Monday after Germany's opposition conservatives secured the national election, as expected, while the dollar trod

German stocks rallied on Monday and the euro reached a one-month high after Germany’s election result put centrist parties on track to form a coalition. European shares more broadly held steady, while Wall Street futures rose after a U.