Investors will soon find out more details on what the next Italian government will look like, with lawmakers still trudging through the arduous task of forming a coalition after inconclusive elections.The big surprise of the March 4 vote was that Five Star Movement (M5S) and Lega, both parties known for anti-establishment and euroskeptic stances, managed to obtain around 50 percent of the popular vote. But crucially, neither one of those parties obtained a ruling majority.The government formation process from here will therefore be marked by horse-trading and backdoor discussions. Somewhat ironically, the incumbent Democratic Party (PD) led by (the now outgoing leader) Matteo Renzi, has become the kingmaker to the formation of the next government.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.