The euro falls to its lowest point since August, in contrast with Federal Reserve Chairman Kevin Walsh's stance.

Due to weak economic data and dovish comments from European Central Bank President Christine Lagarde, the euro has dropped to its lowest level since August. Germany's private sector and France's business activity contracted in June, and the euro hit an intraday low. The options market shows bearish euro positions at their highest in three months. Lagarde stated that there is no need for the European Central Bank to take more aggressive measures in response to the spillover effects of the Iran war, a stance that contrasts with Federal Reserve Chairman Kevin Walsh's stronger inflation signals last week. ING currency strategist Francesco Pesole said that Lagarde's dovish remarks are significant because the European Central Bank has mainly been maintaining hawkish market expectations over the past three months.