Dutch Government Talks Start After Narrow Win

Wednesday's election gave Mark Rutte's right-leaning Liberals a one-seat victory, but deep policy differences with other parties will likely result in long and messy coalition talks and possibly a short-lived administration.The election ousted Christian Democrat Prime Minister Jan Peter Balkenende after eight years in office. Geert Wilders's anti-immigration Freedom Party more than doubled its seats to be the third-largest parliamentary group and a possible kingmaker.Historically it has taken an average of 87 days to form a Dutch government after an election, but lengthy negotiations would be bad news for investors betting on spending cuts.For now the market appears to be reassured that a cost-cutting government will emerge, and the cost of insuring Dutch government debt and government debt spreads narrowed after the vote.With nearly all the votes counted, the Liberals had 31 seats in the 150-member parliament against 30 for the Labour Party, which wants slower and fewer cuts to tackle