The upstart far-right Vox party, a possible coalition partner to PP, is forecast to win 33 seats.
Supporters outside the PP headquarters waiting for election results.
Despite a party-like atmosphere at the PP headquarters, supporters of the opposition party told CNN they had expected a clearer victory.
Outside the Socialist party headquarters, meanwhile, supporters were upbeat.
Several smaller regional parties are also set to win seats, of which several have previously lent support to Sanchez’s government.
Persons:
Pedro Sanchez’s, Sumar, Oscar del Pozo, Alberto Nunez Feijoo, ”, Mercedes Gónzalez, Fernando del Rio, Agustin Saludes, Sanchez, “, ” Saludes, Sunday’s, Andres Villena, outmaneuver, King Felipe VI of Spain
Organizations:
CNN, Partido Popular, Vox, Socialist, Getty, “, Basque Country, Madrid’s Complutense University
Locations:
Spain, AFP, Madrid, Catalonia, Basque