Despite attempting to fill the gap at the open, the euro currency was seen turning bearish. Investors digested the German elections outcome which turned out as expected. However, with the AfD making inroads into the Bundestag, the markets were a bit cautious. The rise of the populist and right leaning political parties this year has been a major concern among the leaders in the EU.
Politics was the main theme on Monday with the New Zealand election results expected to be announced over the week. In Japan, PM Abe called for snap elections in a bid to consolidate his position amid threats from North Korea. Speaking in a televised speech on Monday, Abe said the elections would be a verdict of his performance in handling the spending plans and also his handling of the North Korea crisis. Abe also said that he would resign as the prime minister if his party failed to win a majority.
Looking ahead, the economic calendar is light today which makes the Fed Chair Janet Yellen’s speech the main event of the day. Ms. Yellen will be speaking at an event in Cleveland.
