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92GEOPOLITICS

Germany's far-right AfD party wins historic victory in Saxony-Anhalt state election, but falls short of absolute majority

⚡ Markets: Increases political instability in Germany, the EU's largest economy. Potential negative pressure on the Euro (EUR), German bonds (Bunds), and European equities due to uncertainty over future policy direction and EU cohesion.EURUSDDAXGerman Bunds

The Alternative for Germany (AfD) party secured a record 43.8% of the vote in the eastern state of Saxony-Anhalt, a political earthquake for Germany's mainstream parties. While the result is a major victory for the far-right, the AfD fell just short of the absolute majority needed to form a government alone, leaving its path to power uncertain.

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