The euro declined on Monday following news about German Chancellor Angela Merkel’s decision to step down as chairwoman of the Christian Democratic Union (CDU) party.

Against the dollar, the euro fell 0.2 percent to 1.1378. The currency dropped 0.4 percent to hit a day’s low of 1.136 earlier in the session after senior party sources announced that Merkel will not run for re-election as the CDU chair in December.

The euro has come under pressure because she is seen as a pro-European force despite being a tough negotiator when it comes to bail-outs, said currency strategist Ulrich Leuchtmann.

Merkel has been leading the CDU since 2000, becoming one of its longest-serving chairpersons. She became the first female Chancellor of Germany in 2005 and intends to remain in the post until her term ends in 2021.

Since that year, Merkel has loomed large on the European stage, helping guide the European Union (EU) through the euro zone crisis and opening Germany’s doors to migrants fleeing the war in the Middle East in 2015, a move that still divides the EU and Germany.