After all the political turmoil and surprises, worries about the rise of populism over the past year increased.

The upcoming German election scheduled for September 24, should provide some relief.

The opinion polls all point to a clear victory to Merkel’s CDU/CSU, with the opposition SPD trailing by some 15 percent.

This combination will probably be viewed as a positive for the region’s asset markets and provides a foundation for sustained euro strength at an important time for the currency.

The Euro and Eurozone capital markets will be particularly sensitive to the outcome of the German election, but the price of gold can be heavily influenced as well.

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