This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Merkel Bidding For 3rd Term In German Election

Merkel looks likely to end up leading either a "grand coalition" government with the center-left Social Democrats of defeated challenger Peer Steinbrueck â¿¿ reviving the alliance that ran Germany in her first term â¿¿ or, less likely, with the environmentalist Greens.

Either way, several weeks of difficult negotiations are expected.

"The ball is in Merkel's court," said Steinbrueck, a former finance minister under Merkel who has said he won't serve under her again. "She has to get herself a majority."

"Angela Merkel is stronger than ever, also in her party," said Manfred Guellner, the head of the Forsa polling agency. "But governing is going to be odd because she will have to form a 'grand coalition' although she is only a few seats away from an absolute majority."

Merkel's conservatives finished far ahead of Steinbrueck's Social Democrats, who won 25.7 percent of the vote â¿¿ not much better than the post-war low of 23 percent they hit four years ago.

Their Green allies polled a disappointing 8.4 percent, while the hard-line Left Party scored 8.6 percent. But although the three parties on the left together hold a thin parliamentary majority, there's virtually no chance of them governing together.

The Left Party includes heirs of East Germany's former communist rulers, opposes German military deployments abroad and is the only party that voted against Merkel's policies of bailing out debt-troubled European countries in exchange for reforms. The two center-left parties on Sunday renewed promises not to form an alliance with the Left.

"We did not achieve the result we wanted," Steinbrueck told supporters, insisting he wouldn't engage in "speculation" about the next government.

Merkel's conservatives, the Social Democrats and Greens "have largely similar positions" on Europe, said Oscar Gabriel, a political science professor at Stuttgart University. He noted, however, that "there are a few nuances," with the center-left parties more open to limited pooling of European countries' debt something the chancellor has refused to countenance.

2 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,790.84 +112.94 0.68%
S&P 500 1,961.36 +10.54 0.54%
NASDAQ 4,473.2870 +20.4950 0.46%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs