Shocked and stunned Italy political parties seek election solution, world markets rattled
That leaves no party with the majority in a chamber which a government must control to pass legislation and opened up the prospect of previously inconceivable partnerships that will test the sometimes fragile internal unity of the main parties.
"The idea of a majority without Grillo is unthinkable. I don't know if anyone in the PD is considering it but I'm against it," said Matteo Orfini, a member of Bersani's PD secretariat.
"The idea of a PD-PDL government, even if it's backed by Monti, doesn't make any sense," he said.
Berlusconi, a media magnate whose campaigning all but wiped out Bersani's once commanding opinion poll lead, hinted in a telephone call to a morning television show that he would be open to a deal with the centre-left - but not with Monti, the economics professor who replaced him 15 months ago.
"Italy must be governed," Berlusconi said, adding that he "must reflect" on a possible deal with the centre-left. "Everyone must be prepared to make sacrifices," he said of the groups which now have a share of the legislature.
The Milan bourse was down almost 4 percent and the premium Italy pays over Germany to borrow on 10-year widened to a yield spread of 338 basis points, the highest since Dec. 10 and more than 80 points above the level seen earlier on Monday.
At an auction of six-month Treasury bills, Italy's borrowing costs jumped by more than two thirds with the yield reaching 1.237 percent, the highest since October and compared
Be the first to comment.