The euro fell to a 17-month low on Monday as fiscal concerns in France and political gridlock ahead of next year's presidential election weighed on the currency, according to Reuters. The common currency traded 0.7 percent lower.

The dollar charged higher, drawing support from still-high Treasury yields even after a weaker-than-expected US jobs report cooled expectations of a Federal Reserve rate hike this month. The dollar index, which measures the greenback against six major currencies, rose 0.54 percent to 102.47.

Markets are watching the widening gap between French and German bond yields, amid fears the turbulence could spread more broadly across European markets. High French debt levels are adding to the pressure.

Elsewhere, Asian markets were mixed with holidays thinning trade in China, South Korea and parts of Australia. Tokyo's Nikkei rose 2.5 percent, while Japan's 30-year government bond yield hit a record high ahead of remarks by Prime Minister Sanae Takaichi. Investors now see less than a 20 percent chance of a Fed hike in October.

Sources: reuters.com; thehindubusinessline.com.