It's A WRAP . . . Rapper French Montana Reportedly DUMPED Iggy Azalea . . . For ANOTHER Famous Chick!! (PICS)

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French Montana and Iggy Azalea appear to be over, at least according to People Magazine. Here is what they are saying:

French Montana — who was last linked to Iggy Azalea — was spotted getting cozy with Nicole Scherzinger at the Ciroc New Year party in Las Vegas, a source tells PEOPLE exclusively.

“They were very affectionate and had their hands on each other’s legs,” says the source. “They were hugging and couldn’t take their eyes off of each other all night.”