Euro gains in early Asian trade after CDU/CSU election victory in Germany

The euro rose in early Asian trading after the German Federal election results showed the CDU/CSU party winning 28.7% of the votes, while the far-right AfD received 19.8%. Markets are now focused on potential coalition formations, which could include the CDU, SPD, and Greens. The outcome may influence fiscal reforms and European defense funding. The election results have led to a slight increase in the euro against the dollar, reflecting optimism for improved economic prospects. Coalition negotiations may introduce uncertainty regarding future reforms.