The euro hit its lowest price against the dollar since August on Monday and was on pace for its largest one-day percentage drop since March.
The euro fell after a weekend victory for German Chancellor Angela Merkel that was accompanied by a surge in support for the far right. Support for Merkel's conservatives unexpectedly slumped to its lowest since 1949 and the Social Democrats, partners in the outgoing coalition, said they would go into opposition.
"Markets dont like uncertainty and the German election results have injected a healthy dose of (that)," said Richard Falkenhall, a strategist at SEB AB in Stockholm.
The euro was last down nearly 1 percent against the dollar and down 0.76 percent against sterling.
The euro has been one of the best performing currencies against the greenback this year, having gained more than 13 percent against the dollar.