the liberal party and the green party which would make up ththe coalitionn are holding quiuite a lot of cards because angela merkel really needs b both of tm in order t to form a majoritit governmement. his new support race has beenen very hard one and he won't want to lose this by agreeing to all of her terms. -- touch onon issues that could be potential sticking points. that he doesn't agree with germany underwriting the debt of european countries. planslso skeptptical abobout for european reforms. he agrees with the green party thatat climate chahange is veryy impoportant but they may not see eye to eye on how to take the steps to tackle it. >> merkel's victory has been overshadowed by the rise of the alternative for germany. the far right party really shaking up the political landscape. absolutely. it has s sent shockwaveves throh the politicacal landsce. much of the analysisis coming ot today that has become almost an existential question in germany, how did this happen in a society that is so modern and contemporary and forward thinking. how has it allowed the far right party t

democratic liberal party held a 43%.is expected to convert that election will take place october 22 at a news conference at 10:00 a.m. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. you can find more stories on the bloomberg at top . that expectation coming through from prime minister abe is weakening the yen and pushing the nikkei higher. elsewhere, it is generally awake such an across asian markets. property developments are battered today. this applies in taiwan under pressure because of disappointing sales and south korea's cost be weaker by 8%. we look at the stocks in detail, china has risen fivefold. we see new chinese cities adding to these property curves ahead of the party congress in october. htc was the best performer on friday and remains to be so today. billion deal $1.1 with google and amazon boosted its stake in india's shopper's, sending its price up about 50% in the india session. stake toell a 5% amazon for $28 million. manus: thank you ve

the problem is you got the liberal party, the sdp come on the business friendly, free market side of things. the green party does not see i to them on very many issues. they will have to get those to agree.two to even in the best of times, this takes weeks or months and this could drag on beyond christmas or beyond. mark: great job. busy day. post-german elections. let's get more insight on the elections. the new round of brexit negotiations kickoff this week. out......the way now, soon, in four years? >> in a few months. mark: really? trump you got right. you did not get macron right. >> i did not. "dead woman walking." editor of the "evening standard." let's give you the two center-right parties led by experienced female politicians. one got 43% of the vote, the highest share the conservatives have had since the war. the other got 30%, the lowest share since 1949. apparently won lost the wontion, the other lost -- the election. this nonsense about victory. yes, they scraped over the line ahead of the even weaker performance by the socialists, but this is a very poor result and it is

they are very pro—china, especially the liberal party. i think that will give her some backing.es, both minor parties back the eu. when you looked at the liberal party tonight, when they saw their results, more than io%, they raised two european flags and cheered for europe. i think this will be tough for great britain as a negotiation partner. thank you very much forjoining me on newsday. we are past midnight here, as the sun comes up tomorrow, the country will begin another working week. this election has revealed a political landscape that is far more diverse and fragmented than anything we have seen since the second world war in germany. the ramifications for that will take many years to play out. a controversial referendum on independence for iraqi kurds, is due to go ahead on monday, despite growing international pressure to call it off. there are fears that a vote for the autonomous kurdish region, to form its own state, could lead to renewed instability in iraq and beyond. the kurds live in the oil rich north of the country, and make up nearly a fifth of the population.

they are very pro— china, especially the liberal party. i think that will give her some backing. r parties back the eu. the liberal party tonight, when they saw their results, they raised two european flags and cheered for europe. i think this will be tough for great britain as a negotiation partner. for the first time sesame street's elmo is in singapore as part of a campaign to spread kindness. it's called ‘share the laughter‘ and there was plenty of that when elmojoined me here in the studio. hi, elmo! this is a moment i have been waiting for since i was a kid! wow, really? well, elmo is really happy to be here with mr rico. what —— what brings you here?|j happy to be here with mr rico. what -- what brings you here? i am here to spread kindness! you know, that is what we need in the world today, kindness. we need love, we need laughter, happiness. look at the news we delivered today, there is not a lot of it. well, elmo is here to tell everybody that it is very important to be kind to one another. absolutely, and of course there has to be peace in the world. tell me, elmo, you

i expect the next finance minister to come from the ftp liberal party. -- fdp party.omising tax cuts for the middle class. reform expect real tax germany? be askedquestion could about the u.s., and it seems to be just as unlikely. joerg: when it comes to all ,ther areas of policy environmental, european union integration, they are different as far as the three parties are concerned. when it comes to tax cuts, all three parties more or less promise to cut taxes, therefore something will come, but do not expect a pronounced one. matt: thank you so much for your time. joerg kraemer, chief economist from commerzbank coming to us from frankfurt. remember, if you were a bloomberg customer, you can watch the show using tv . us on twitter. there is a lot you can do on tv . coming up, we will speak to upmarket sing --otmar issing. this is bloomberg. ♪ ♪ matt: welcome back to "bloomberg markets: european open." let's get up to the london headquarters to get the first word news. for that, we go to add. the spanish government is continuing efforts to stop an independence

certainly a socially liberal party like the free democrats it does seem though that the message he carried off that this whole campaign was very much on his personality all of the post as almost all of the posters i have to say not all of them almost all of them had his face on them some of them was a figure of fun throughout the election for some of the pictures they were taking of him looking more like a magazine shoot he is the man that's been leading them to this position where they find themselves at the moment and that may well be a position that sees them back in government but who is the sixty eight year old former. entrepreneur christine linda who's led the free democrats to this position . thank. you then on the come up and this would be endlessly. but i will because my. the things i have to say it's a very strange reaction it's going on over my shoulder right now a lot of smiling faces a lot of people holding drinks but still very quiet as people are glued to these t.v. sets to see if this is the case that the free democrats as it stands at the moment will be back int

they have to be there who really have much in common after all one is an environmental party and one is the liberal pro-business party so how is this going to work and what does it mean for germany and the world for some answers i'm going to head over the desk now and be joined by our chief political correspondent melinda crane. wonder great to have you back in the studio you have been with us all night breaking down the results as they come in we've finally got some study results to talk about and the coalition building begins now last night we heard the s.p.d. say they're not going to take part in a coalition with merril no grand coalition that gives us the f.d.p. the progress party the greens and meryl's conservatives how is that going to work well. the chancellor essentially has to go to these two parties because as you say the s.p.d. has ruled itself out although frankly she was saying today she's going to call the s.p.d. anyway and i think that's the beginning of her bargaining tactics if she were to admit that she really has only one option here obviously the two potential partners the green

or the liberal party that would be new we have had that in earlier days but we haven't had that since quite a while this is a possibility so be called a jump because it's also possible that we have. the green party and the social democrats so it's many many open question not social democrats excuse me the liberal party so that many many opportunities so we will be an exciting day on sunday to see you know what is the do you think of course coalition reflecting the flanks of the jamaican coalition and the tea party's engine the as you said in this is is this so many permutations and combinations which could emerge from the election thank you very much for coming and sharing your thoughts and thank you also to you melinda crane at brandenburg gate and of course. we will be kind of following that election closely and just as germany decides you must actually stay with you we will be bringing you live coverage of the election on sunday as well as of course in the lead up to sunday now with germans preparing to cast their ballots facebook is stepping up efforts to prevent foreign governmen

party c.s.u. with the greens and the liberals also three want their own demands to be met. if in my view it's absolutely essential that we set out a clear commitment to stemming the influx of refugees in other words a cap on numbers. that's what we've promised people. to do cause we end the present a humanitarian refugee policy the business friendly f.t.p. has already described its main goal to avoid the traditional language the direction of politics this needs to be a turning point and if that's impossible they'll go into a position. up that's the opposite to on the newly elected parliamentary groups are now holding their first meetings for the far right a.f.p. entering parliament for the first time it's been a bumpy start party co-leader folk appear to be wants to keep her seat but says she won't join her party's talum and regroup that's not going down well i must mark and it's clear that she should take the next step and resign and perhaps leave the party for the german bundestag troubled times might be ahead troubled times and tough negotiations ahead well our political

liberals. i would suspect that will be the junior of the three parties in the coalition. stands a pretty good chance let's be honest of winning a fourth term as chancellor but she still has a critics you know she gets heckled from time to time of the voters not grown weary of their over what's been a fairly lengthy twelve years in office. well i think what it is. the fact is i was the teflon chancellor i mean you know she could teach so many blared a thing or two she gets away with not believing the which she says people just go along with it partly because to spin a lack of a coherent position you know mr schultz what he had to huge boost when he came in and people got to know him they thought well no we don't want that. and now for the new looks like there will be an actual opposition in parliament in the form of the a.f.p. . of course the christian democrats could still dominate a coalition but nothing's set in stone here is there some mountain anglo-american gets voted out what will she be remembered for. the migrant crisis should be remembered for opening the borders

twenty three year old law student oscar mark is a member of the youth wing of the center right liberal party. we. started out there are no more we are conservative we. sent a party in the side of the event takes place about one hundred kilometers off the east coast of sweden on the island of gotland in the medieval harbor city of his b. it's like a company team building exercise where you go on a retreat to bond with your colleagues. the change of pace and scenery fosters a feeling of common purpose. seminars and discussions start early in the morning and continue all day. we get this closeness between each other it's very easy to reach me here is a politician as mayor then it's very easy to reach every other one just so it's a very good way to actually get politicians here with the people because i think that is what democracy and so we've done it. grows from. it all started in one thousand nine hundred sixty eight when future prime minister old off palma got up on the back of a jeep and spoke to a couple of hundred people in on the dollar and park. when his social democrats started organiz

because they think that the opposition party will meet their demands but the if the is a neo liberal party like the free democratic party which was also racist this will help nobody in germany it will not be good for retired people or ethnic russians or workers or the unemployed on the contrary they have a neo liberal program and the left party is very different from them so we want to bring minimum wages to twelve year olds now up we don't want jobs that off a minimal pay in a minimal hours we want all working people to be able to live well we want good and stable relations with russia we don't want nato to exist because nato is the source of instability so it is an aggressive alliance i think it is possible but we need to have a strong presence in the parliament so we can make a difference. mr noir thank you very much for the interview was my pleasure. years ago i traveled across the united states exploring america's deadly love affair with a gun if a bad guy tried to get to one of my family members he would have better a lot better and i think they are inheriting whenever my my baby say

the conservative party the christian democratic party the liberal party the socialist party and the more left socialist party it's pretty normal but for germany with our past and the guilt that we have had. there was no room i mean mentally no room for such a party it's no different and i think it's you have to watch closely what happens because that can be a danger but it can also be a relief. day tackling them and thank you so much for coming on and we really appreciate those high pressure thank you thank you of a good thing ok so may right let's look at the projected results of the sharpening up it's now exactly nine o'clock at night here in berlin and live without internationally is kevin though in the here and with you our continuing live coverage going in through the night for next six hours as we take a round for occasions the big vote the exit polls are in the counting still going on we think could be before six hours we think he's going to take it so it could be three in the morning for we get a final final on this and leading the way as expected angela merkel's christian democr

liberal. speech so far goldman sachs's winning and the british people on losing. his party conference in the south east of england. who voted against the iraq war former labor cabinet minister lord chris smith outgoing chair of the regulator of british advertising. plus the queen of mean on to raise a seventy eight percent increase in hate crime in the u.k. winner of ru paul's drag race insults comedian. twenty nine u.s. states.

democrats the pro-business liberal party that teamed up with merkel and her allies the for by the way isn't just a pretty face he could confront merkel on some key issues if peace prevails refugees must return there is no such human right for choosing your place in the world i'm not being harsh this is lauren realism speaking. even with this hand shake in the bag merkel might still need extra help to get her over the winning line and that's why the green party could come into the fold with their top candidate dubbed green angular similarities to coal this cd you f.t.p. and the greens would make an exotic mix known as the jim a coalition which is never made it to national government before so in case you're wondering why there is no clear winner come monday morning well the details of the final coalition contract could take weeks to finalize the system is complicated but it is considered the fairest of them all for a vote is it can be frustrating though occasionally political parties end up breaking campaign promises and in germany there's always the convenient excuse that it was all t

that we're expecting to happen from those eighty proposals tonight and that is while the cd heart liberal party has lost some big share of the vote as have the social democrats martin short his party it seems that the smaller parties have gained elsewhere and that means that the linker who are the official opposition in the last german parliament now are no longer the third largest party in that parliament in fact they are joint fifth right at the end if those exit polls are to be believed of course we know there are more votes still to come in postal votes to be counted but those exit posts and polls suggest that they are in joint fifth place with the greens on fifty nine votes that is a big diminishing power that means homes of where they stand in the german monuments now they are i have come out tonight with a fighting spirit about this saying you know there's a lot of good for them to take away from this election one they didn't lose any share of their vote again if those exit polls are correct but also they say they gained five thousand members during this election year old woman is under

central left forty twenty point six percent in red the left party nine point one percent the greens eight point nine percent the pro-business liberal f.d.p. ten point six percent and the populist a average d. thirteen percent of the vote they're set to enter parliament for the first time on a national level all the other smaller fringe parties here in germany collectively taking just under five percent of the vote so what do these results mean well let's put it in context first here's a look at how things have changed since germany last voted four years ago we can see that both the conservatives and the as p.d. those the black and red figures there have lost quite a bit eight point six and five point one percent meaning germany's mean stream parties were the big losers this time around the left party in the greens each gained about half a percent the winners this evening the f.t.p. up almost six percent that's the pro-business party here in germany and of course the far right populist a.f.d. up over eight percent this evening. so what does all of this mean for germany and for the world for some analysis i'm going to head over the t

were going to coalition with the greens in this free liberal party in the in the right wing which is economically much more right wing even than the c.d.u. that's a lot of problems attached to it the greens are split they were left on the right wing's the liberals are going to extract lots of things that she won't like to do with changes to germany's energy policy and this sort of stuff and i wouldn't necessarily rule out the idea that if the coalition talks last for weeks and weeks and weeks that it might actually mean that the social democrats on the left who've already withdrawn might actually come back and she said herself at the start of that we're still holding the line of communication open with them because they can basically sit on the outside now and watch a protracted set of coalition they go go on with all these smaller parties are not work and then say well we'll come back in but only if you agree so much more radical things than they were able to push during this election campaign which would actually bring back some of those voters from the so i wouldn't talk to one an

by jitters of a north korean missile and nuclear test reports say abe has told members of his liberal partymay dissolve the other house of parliament an op ed abe says they must remain if you go early to the polls, albeit not drastically early, his position is from a position of weakness as opposed to a strong position. trying to choose a time between now and the next year of being as little weakness as possible >> will be interesting to see what he has to say this week >>> british prime minister theresa may is traveling to speak to the u.n. general assembly in an interview on abc yesterday, may says she has no doubt brexit will happen. >> the negotiations, the -- and we're looking at the deal we can do the way that we can come to an agreement with the eu for the future, for our future relationship in trading terms. what this enables us to do is actually by having our own control, enduring trade deals. hence, we're talking to the united states. >> as for her relationship with president trump, theresa may says they work very well together although she disagreed with some of his positions inc

going to respond i think the greens to a degree of walmart's was micron's because issued in the liberal party in germany so it is a very good question it's too early to say at this moment but certainly these are the big questions that need to be asked about the future shape of the year we are going forward just looking at some of the me and points of macross speech it almost could be labeled a strongman speech would we go as far as to to label it like napoleon. macaronis is popular he used he powerful in terms of the mandate that he's received both from the presidential election and also the national assembly election in france but he's in no way is the napoleonic. what he's talking about is stuff that's been trialled many many times before this is the. chicle integration is the gender that people are. been peddling for many years and there's nothing new in this this is simply highlights from the problems that european union faces and saying that they all sort of the problems is more european union we need great dissent from our powers we need the institutions in brussels to have more power m

because they think that the opposition party will meet their demands but the if the is a neo liberal party like the free democratic party which was but also i racist this will help nobody in germany it will not be good for retired people or ethnic russians or workers or the unemployed on the contrary they have a neoliberal program and the left lot is very different from them so we want to bring minimum wages to twelve year olds in our we don't want jobs that often minimal pay and minimal hours we want all working people to be able to live well we want good and stable relations with russia we don't want nato to exist because nato is the source of instability so it is an aggressive alliance i think it is possible but we need to have a strong presence in the parliament so we can make a difference. mr noir thank you very much for the interview my pleasure. america seems this thing you don't need to spend money to make money they just want to be extraction extracting money like parasites used to be the model america pursued around the world but america south america asia south these days you kn

because they think that the opposition party will meet their demands but the if the is a neo liberal party like the free democratic party which has little sigh racist this will help no one in germany it will not be good for retired people ethnic russians or was because all the unemployment on the country they have a neo liberal program on the left lot is very different from them we want to bring minimum wages to twelve year olds now up we do want jobs that often minimal pay and minimal hours we want all working people to be able to live well we want good and stable relations with russia we don't want nato to exist because nato is the source of instability so it is an aggressive alliance i think it is possible but we need to have a strong presence in the parliament so we can make a difference. mr noir thank you very much for the interview my pleasure. sylvia paradoxically. compadres and was a situation like israel and palestine is not a country where i meet a lot of people were told. everybody agrees this humanitarian situation in syria is a very serious situation people have been much more

is a neo liberal party like the free democratic party is but also racist this will help no one in germany it will not be good for retired people or ethnic russians or workers or the unemployed on the contrary they have a neo liberal program and the left thought is very different from them we want to bring minimum wages to twelve year olds in our we don't want jobs that often minimal pay and minimal hours we want all working people to be able to live well we want good and stable relations with russia we don't want nato to exist because nato is the source of instability so it is an aggressive alliance i think it is possible but we need to have a strong presence in the parliament so we can make a difference mr noir thank you very much for the interview my pleasure. syria paradoxically. parties and was a situation like israel and palestine is not a country where i meet a lot of people with told though everybody agrees. is a very serious situation people have been much more than in any other conflicts to day. eighteen years ago i traveled across the united states exploring america's deadly lov

matters because of the future of europe, they don't want this emmanuel macron vision, but the liberal partyore lenient and more likely to discuss with britain after brexit, so that will change politics as well. and then the word on the afd party, who emerged four years ago after the migration crisis and they got a huge surge in support. some differences in france with front national. they need about 2 million votes to get into parliament of the 43 million likely to vote and at the moment they are likely to get into parliament. six parties, potentially, for the first time since the second world war. potentially, for the first time since the second world wanm potentially, for the first time since the second world war. it is going to be a fascinating election. and we'll be bringing you a special programme live from berlin shortly after the polls close, including reaction to the first exit polls, here on the bbc news channel. that's from 4:55pm to 7pm this evening. president trump has warned north korea's leaders might not be around much longer if they continue to build tensions. his comments o

taxpayer is going to respond i think the greens to a degree are overall much was my position of the liberal party in germany so it's a very good question is too early to say at this moment but certainly these are the big questions that need to be asked about the future shape of the europe we're going for. meanwhile the co-chair and leading figure of the alternative for germany party for petrie has resigned amid a split within the party and it comes right after the group secured seats in the german parliament the very first time in its history with more details his our europe correspondent peter oliver. petri has stunned alternative for germany and all of those watching german politics by announcing that she will step down and leave the party this follows an historic victory for the for the a.f.p. as they took their first seats in the bundestag in sunday's federal elections that the announcement that she will leave the party follows a straw to put sweet statement on monday that she would not sit with a fifty members in parliament. we want to create real policy and that's a long consideration i dec

the leader of germany's free democrats the pro-business liberal party that teamed up with coal and allies the full by the way isn't just a pretty face he could confront cole on some key issues. refugees must return prisoners such human rights for choosing your place in the world i'm not being harsh this is lauren realism speaking. even with lynn this handshake in the bag merkel might still need extra help to get her over the winning line and that's why the green party could come into the fold with their top candidate dubbed green for her similarities to. this cd the f.t.p. and the greens would make an exotic commit acts known as the gym a coalition which is never made it to national government before so in case you're wondering why there is no clear winner come monday morning all the details of the final coalition contract could take weeks to finalize the system is complicated but it is considered the fairest of them all to vote says it can be frustrating though i caved in the early political parties end up breaking campaign promises and in germany there's always the convenient excuse tha

jo swinson, the deputy leader of the liberal democrats, challenging the party to take on the opportunities the populists have been talking in simple sound bites, always somebody else's fault. as liberals we know this is nonsense. these shouting slogans are not a solution to anything. jo swinson has said she is going to be supporting vince cable, there she is kissing him. congratulating her on the speech. that was one of the keynote speeches at the conference. we will have coverage throughout the week. the weather, it is looking a little bit better. winds light. more sunshine. brighterfor northern brighter for northern ireland, western scotland, the vast improvement. temperatures around 17, 18. it would sizzle it could be cloudy at times for the football, sunshine breaking through and i could not rule out showers. this evening and overnight, showers never die out easterly, but it is grown to become chilly. the touch of mist and fog in places, in towns and cities, single focal spot at brewdog areas, lower. particularly the more pressure close to the east of the united kingdom, this weak area

market liberal party and they all of course the environmental greens all of these small parties have roughly ten percent of the vote at the moment i was able to speak to. the local member of parliament for the green party this isn't what he had to say. so we're talking about a member of parliament for the greens. doing. field. we're still fighting here two more days to go and i'm quite optimistic that we will be the third. and and more than thirty percent of the waters didn't decide to whom they were going towards four so there's a lot of music in the box still and we're fighting for the next forty eight hours and we will run and then. what's most prominent about the selection is that the right wing populist. alternative for germany are very likely to enter parliament how is that going to change parliament and debate and parliament do you think i'm running in berlin midday on my own poena it is bad to explain schorsch she is one of the front runners of to i have to say and she never came to one discussion and schools and the marketplace is never so they ar

market liberal party and there are of course the environmental greens all of these small parties have roughly ten percent of the vote at the moment i was able to speak to. the local member of parliament for the green party this isn't what he had to say so we're talking about the member of parliament for the greens the environmental party more claw some water the greens have not been doing as well in polls as they had hoped for how do you feel two days before the elections we are still fighting we have two more days to go and i'm quite optimistic that we will be the third. day and and more than thirty percent of the waters didn't decide to whom they were going towards for so there's a lot of music in the box still and you're fighting for the next forty eight hours and if you will run and then. what's most prominent about this election is that the right wing populist. alternative for germany are very likely to enter parliament how is that going to change parliament and to bait and parliament do you think i'm running in berlin midday on my own pony and is

default partner with a christian that recruits has for many years been the free democrats market liberal party now the problem here is that it's such a coalition in order to have a major or eighty will require a very strong performance of both parties at the moment in the ratings we don't see a major or it's a new for this coalition so over the next ten days both the christian democrats and the. democrats will have to outs a number of percentage points in order to form such a coalition but the major already in my opinion at the moment we're still looking at a most likely grand coalition the dynamics in terms of the political ratings of individual parties seem such that the fringes are getting stronger over the last couple of weeks both the far left and the far right as the mainstream parties are stagnant or even dropping including on the american conservatives they've been sliding slightly over the last couple of weeks it seems to me that the most likely coalition is still one of the christian democrats and the social democrats this is not a coalition that i think the christian democrats or th

coalition black for angela merkel's christian democrats yellow gold for the free democratic the liberal party and green obviously for the green party with that is something that will be hammered out through weeks of deliberations negotiations between the parties the question though is what does germany make of this result for the alternative for germany and what whether this is a victory for them of in. treif americal what is the the synopsis as it as it were of this result with me to discuss all that is is all i think from rasmussen global a company a firm that operates under the aegis of the former nato secretary general anders fogh rasmussen well mr duncan we have the results it seems as though it's a win for matthew but her policies lost ten percent compared to the last time how do you read this election you know it definitely so she looks at the first side as the clear majority winner but if you look into the details if you look into the results so she actually is the big loser of this election. and this also makes her as a coalition partner quite on the track to have to her new potentia