What Investors Need to Know About Canada's Election Next Week
- Liberals ahead in polls but likely to fall short of majority
- Uncertainty over vote has stock and currency traders on edge
Canadians vote in a federal election Monday that will probably put an end to the decade-long reign of Prime Minister Stephen Harper’s Conservatives, and may be followed by uncertain negotiations to secure a more left-leaning government.
The opposition Liberals under Justin Trudeau are poised to secure the most seats in Parliament, polls suggest, while falling short of the 170 required for a majority. The worry is the Liberals, who have governed for much of the past century, will require the backing of Tom Mulcair’s New Democratic Party, which has socialist roots, to stay in power and pass legislation. The possibility has rattled investors since the election campaign began in August and uncertainty over the election outcome has traders seeking to protect against currency swings next week.