Germany's far-right AfD party secures record win in Saxony-Anhalt state election

The far-right Alternative for Germany (AfD) party secured a record 43.8 percent of the vote in Sunday's state election in Saxony-Anhalt, making it the biggest party in the state parliament.

The ruling Christian Democratic Union (CDU) suffered a heavy blow, with its share of the vote plummeting to 17.4 percent from 37.1 percent in the last election in 2021.

Analysts said the result was born of frustration on issues reaching far beyond this state, with migration and security featuring as key voter concerns, alongside cost of living issues, jobs and public services.

Support for the AfD was seen across age ranges and gender. Ahead of the ballot, some 59 percent of voters said the federal government did not deserve their support.

Although the far-right party won decisively, it fell three seats short of a majority in the 83-seat state parliament, according to official vote counts.

What comes next will test Germany's political firewall, as there exists an unwritten, long-standing agreement among mainstream parties not to work with the AfD.

The AfD insists it has a "clear mandate to govern" and that "democracy demands" other political parties abandon their traditional blockade and work with them.

"I come politically from a completely different part of the spectrum than the AfD. Nevertheless, they should not be excluded. We should respect the result and make rational decisions," said Maximilian Bloch, a local resident.

"Perhaps the AfD should be given responsibility. Above all, people should talk with them, not just to oppose them, and ask what proposals they have," said Ines Chile, another resident.

The populist Sahra Wagenknecht Alliance (BSW) party, which believes in state intervention economically but is socially conservative, have the seats to form a majority coalition with the AfD and say they are open to talks.

Keeping the AfD out of government would require all five opposing parties to cooperate, crossing some of German politics' deepest divisions.

U.S. stocks ended lower on Tuesday.

The Dow Jones Industrial Average fell by 628.18 points, or 1.18 percent, to 52,786.07. The Standard and Poor's 500 sank 45.08 points, or 0.58 percent, to 7,673.52. The Nasdaq Composite Index shed 85.58 points, or 0.32 percent, to 26,421.41.

Eight of the 11 primary Standard and Poor's 500 sectors ended in the red, with health and financials leading the laggards by dropping 2.55 percent and 1.43 percent, respectively. Meanwhile, energy and utilities led the gainers by adding 1.01 percent and 0.85 percent, respectively.