Recent state election defeats have intensified pressure on Chancellor Friedrich Merz, whose CDU posted its worst postwar regional results in Mecklenburg-Western Pomerania on September 20, falling below the 5% threshold for the first time, while the AfD took first place. Similar heavy losses occurred in Berlin, where Die Linke led, following an earlier AfD surge in Saxony-Anhalt. National polls now show the AfD ahead at around 29% versus the CDU/CSU near 20%, with Merz’s personal approval at record lows after 16 months in office. He has ruled out resignation, pledged to advance tax, pension, and bureaucracy reforms within the CDU-SPD coalition, and faced no formal internal challenge to date, though speculation persists over a possible mid-term leadership change or confidence vote before the 2029 Bundestag term ends.
Experimental AI-generated summary referencing Polymarket data. This is not trading advice and plays no role in how this market resolves. · UpdatedMerz vows to remain Chancellor despite historic election defeats
December 31, 2026 rises to 17%3%
Following the severe losses in state elections, Merz publicly declared his intention to stay in office and continue his reform agenda, temporarily stabilizing market expectations for his tenure through the end of 2026 despite ongoing political pressure and low approval ratings.
Internal CDU discussions intensify over Merz's future amid party crisis
After the election defeats, CDU officials debated Merz's potential resignation, with some considering it likely but no immediate replacement emerging, contributing to market uncertainty and volatility in the pricing of Merz's potential departure by year-end.




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