ROME (Reuters) - A deal struck among Italy's main political parties over a new electoral law has unraveled, a senior figure from the ruling Democratic Party said on Thursday after his group lost a parliamentary vote on a proposed amendment.
"The accord on the electoral law is dead," Emanuele Fiano, who presented the law being debated in the Chamber of Deputies, told reporters.
Fiano blamed the anti-establishment 5-Star Movement, saying they had "killed off" the deal.
Italian assets gained on signs the accord was failing, with government bond yields falling and stocks rising. However, it was not clear what impact the political row would have on the timing of any election.
Reporting by Gavin Jones and Valentina Za; Editing by Crispian Balmer