Merkel Offered Lifeline By SPD

Germany’s biggest opposition party is ready to begin talks with Angela Merkel on a minority government, offering her a way to restore political leadership in Europe’s biggest economy. It’s the first sign the Social Democratic Party is ready to help the chancellor stay in office after her talks on forming a coalition with three other parties fell apart. SPD head Martin Schulz, who faces party pressure to go further and disavow his refusal to join a Merkel government, is meeting Germany’s president on Thursday for consultations on the way forward. SPD leaders plan to meet at 5 p.m. in Berlin to discuss their options, a party official said.Two months after an inconclusive election that brought a far-right party into parliament, the impasse has left Merkel stranded even though she won a mandate for a fourth term. With Germany’s political map in flux, Merkel’s aversion to governing without a parliamentary majority and the SPD’s refusal to enter a coalition with her for a third time may both be up for negotiation.

Source: Merkel Offered Path to Fourth Term as Resistance Dwindles – Bloomberg

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Craig Erlam

Craig Erlam

Senior Currency Analyst at OANDA
Based in London, England, Craig Erlam joined OANDA in 2015 as a Market Analyst. With more than five years' experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while conducting macroeconomic commentary. He has been published by The Financial Times, Reuters, the Wall Street Journal and The Telegraph, and he also appears regularly as a guest commentator on networks including Sky News, Bloomberg, CNBC and BBC. Craig holds a full membership to the Society of Technical Analysts and he is recognized as a Certified Financial Technician by the International Federation of Technical Analysts.