Stock Exchange: Frankfurt Stock Exchange on a gentle rise after election results

The European shares opened on Monday as investors melted the results of the German elections. The main index Stoxx Europe 600 fell by about 0.2 percent at the beginning of the day. Initially, German Dax increased by 0.8 percent, but the decline was slightly 0.3 % after the opening. In London, the FTSE 100 was close to Friday’s decision, while in Paris CAC 40 had fallen 0.6 percent.

In the election conservative leader Friedrich Merz He became a winner, but the CDU-led block faces great challenges in forming the government. The far -right alternative to Germany (AfD) increased its support and became the second largest party with 20.8 % support, but did not get enough places to prevent the government cooperation of other parties.

The economic situation is uncertain as the German economy has remained in recession, the Russian war in Ukraine continues and the US President Donald Trump The trade signs planned may exacerbate the situation.

“Investors are waiting for how the new government is going to meet these financial challenges,” comments CIBC’s main strategy Jeremy Stretch Bloomberg news agency.

Volatility in the market is likely to be known this week, when NVIDia, who is at the center of the artificial intelligence boom, will release its results on Wednesday. In addition, euro area and US inflation, as well as US consumer confidence, will be heard this week.

The futures anticipate the rising opening to the United States. The overall index of the S&P 500’s futures was 0.3 percent plus as well as the corresponding Nasdaq 100.