23 Sep 2013
Flash: Markets lack closure on German election – BBH
FXstreet.com (London) - Research teams at BBH note that the markets are lacking closure on not just the Fed, but now the German elections.
Key Quotes:
“The market still lacks closure on both the German election outcome and US fiscal policy, two key points of interest for investors”.
“Merkel's CDU did much better than expected in the weekend election, but fell shy of an absolute majority. Its current coalition partner, the FDP, failed to meet the 5% threshold and thus will not be presented in parliament”.
“This forces the CDU to look elsewhere for a coalition partner. The SPD, Greens, and the Left could, in theory, form a majority. But for largely parochial reasons, the SPD and Greens refuse to enter into talks with the Left”.
Key Quotes:
“The market still lacks closure on both the German election outcome and US fiscal policy, two key points of interest for investors”.
“Merkel's CDU did much better than expected in the weekend election, but fell shy of an absolute majority. Its current coalition partner, the FDP, failed to meet the 5% threshold and thus will not be presented in parliament”.
“This forces the CDU to look elsewhere for a coalition partner. The SPD, Greens, and the Left could, in theory, form a majority. But for largely parochial reasons, the SPD and Greens refuse to enter into talks with the Left”.