German Free Democrats have left the negotiating table.

  • Have broken off talks, pulled out of the negotiations
  • Say a 4 way coalition is not possible due to differences (FPD say differences with Greens are too big to bridge)
  • There are no further talks on the schedule at this stage

This leaves Merkel's plan to form government in a difficult position. New elections are not out of the question. her next step though may well be to approach the Social Democrats to form a coalition. So far SPD have not been receptive to this idea. Merkel may also try for a minority government with the greens.

more to come

EUR/USD trading lower