An election win for Germany's conservatives has eased concerns of political gridlock in Europe's biggest economy, but failed to lift uncertainty around whether a new government can deliver fiscal reforms seen as vital to boosting sluggish growth.

Friedrich Merz, on course to become post-World War II Germany's 10th chancellor after the country's election, has vowed to prioritize European unity and the continent's security as it grapples with the new Trump administration and Russia's war on Ukraine.