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REVIEW AND PREVIEW
The British Pound suffered its biggest one-day loss against the euro since October 2016 on Thursday, as a flurry of resignations rocked the government of U.K. Prime Minister Theresa May… Market focus is largely attuned to Brexit developments, amid heightened fears the country could soon crash out of the European Union without a divorce deal. – Sam Meredith, “Euro Markets Lower as Sterling Stabilizes After Brexit Drama,” https://www.cnbc.com, November 16, 2018.
An oil market sell-off has shaved more than a fifth off the Brent crude benchmark and slashed the price of U.S. crude by 25 percent since early October. WTI logged its steepest one-day loss in more than three years on Tuesday. The contract fell 6.2 percent this week. -Reuters, “US Crude Posts 6th Straight Weekly Loss,” November 16, 2018.
Bitcoin tumbled below $6,000 for the first time since August and reached its lowest level in over a year, breaking the recent stretch of tranquility exhibited by the notoriously volatile digital alternative to cash.
The world’s largest cryptocurrency tumbled as much as 15 percent, with most of the initial loss coming within a half hour window. – Olga Kharif and Eddie Van Der Walt/Bloomberg, “Bitcoin Is Tanking Hard – and It Is Now the Lowest It’s Been in Over a Year,” time.com/money, November 14, 2018
So, what happened last week to cause crude oil, bitcoin, and the British Pound to fall so hard? Economists can point to an oversupply of crude oil as the cause of its decline. Political analysts can point to the painful divorce of the UK from the Euro Union (Brexit), leading to resignations and calls for U.K. Prime Minister Teresa May to step down as the catalyst for the steep selloff in the British Pound. No one quite knows why bitcoin dropped so hard last week. But then again, they really couldn’t explain why it rose so sharply in the first place a year ago. Something about a fork in Bitcoin cash that will cause a split, followed by the creation of new coins. In the meantime, the” split” colud make bitcoin itself less valuable.
And therein lies the key to our analysis: “less valuable.” What is “value” to a Financial Astrologer? What rules the concept of “what something is worth”? It is Venus. And that is exactly the culprit in the dramatic change in the “value of things” that has rocked financial markets in the last six weeks, like crude oil, equities, Silver, and currencies, even bitcoin.
Six weeks ago, in early October, U.S. stock indices were making all-time highs and many others were at multi-year highs. Crude oil was at its highest level in nearly 4 years. The Dollar/Yen was at its highest mark in nearly a year. U.S. Treasuries were at the lowest level (highest level in interest rates) in 8 years. Jamal Khashoggi, a noted journalist and critic of Saudi Arabia, was brutally murdered in the Saudi embassy in Turkey on October 2 and Brett Kavanaugh was confirmed by the Senate to the Supreme Court on October 6, following a bitter partisan battle that ripped the political divide in the U.S. population even further. All of these events and milestones happened October 2-9. All had one thing in common: Venus turned retrograde in Scorpio on October 5.
In Financial Astrology, we have a several rules. Some of them even work! Seriously, one of the principles of Financial Astrology is that any market that is trending over several months into a Mercury, Venus, or Mars retrograde date is a candidate to make a counter-trend move that will last until the time that planet turns direct. Venus is more reliable than Mars or Mercury in this regard.
On Friday, November 16, Venus completed its six-week retrograde period, which began October 5. This is something that happens about every 19 months. Venus rules values. It also rules love, but that is a topic for another day, especially since we are talking about Venus starting its retrograde motion in Scorpio this time around. We don’t want to talk about love with Venus in Scorpio, because that combination has a hard time telling the difference between love and lust. If I get started on that, I will lose my focus on the trend and counter-trend movements of the markets, and that’s the point of this column, usually.
Thus, we look back on the last six weeks, and it is clear to see that something changed. Investors were bullish on many markets around October 5. They then turned bearish on those markets into this week as Venus ended its retrograde motion. The idea is that investors will now change their sense of values again and markets will return to their trend that was in effect before the countertrend took effect. That is, equities will become desirable again, as will crude oil, and interest rates, which had been falling the last six weeks, will resume rising.
The only cosmic matter that might disturb this rule is Mercury, the trickster. Just as Venus ends its retrograde motion on November 16, with the promise of returning to happier equity days again shortly, Mercury the trickster will begin its 3-week retrograde drama that will last into December 6. Whereas the issue with Venus has to do with the change of value we place upon things (like assets, love, and lust), the issue with Mercury has to do with communications and the tendency to make decisions that are not well-thought out and later have to be changed. It’s all about changes. In this case, market values are apt to vacillate a great deal in the next few days, as in volatility and more large price swings in very short periods of time.
AND LONGER-TERM THOUGHTS
Every decision I make is a choice between a miracle or a grievance. – Deepak Chopra, Adam Plack, “The Soul of Healing Meditations,” 2001.
The U.S. government ran a $100 billion deficit last month, compared with a $63 billion budget gap in October 2017. Deficits are projected to rise in the coming years as entitlement spending grows and interest expenses on the debt rise. A strong economy typically leads to narrower deficits, as rising household income and corporate profits help boost tax collections, while spending on safety-net programs tends to decline. – Kate Davidson, “Deficit in October Reached $100 Billion,” Wall Street Journal, November 14, 2018.
So, how does this happen? How is it that the U.S.A. has a strong economy, the lowest unemployment in decades, and yet the Federal government spends so much more than it brings in? In the study of Financial Astrology, we have a simple explanation, or rather a simple correlation: Saturn conjunct Pluto in Capricorn, January 12, 2020.
Well, maybe it’s not quite that simple. You might say it’s a setup, a sequence of planetary signatures involving long-term planetary cycles. The huge spending spree can be foretold by the transit of Jupiter into Sagittarius, approaching a three-passage series of square aspects to Neptune in Pisces, January – September 2019. This is a classical bankruptcy aspect, a period of overspending and overreaching in which many entities – governments, corporations, institutions, and individuals – are tempted to spend more than they bring in (think Italy and think the USA). There is a lack of attention paid to the consequences of this behavior in the belief that enough money will be brought in to cover those added costs. Except, it doesn’t. The estimates are woefully wrong. Budget controls get busted, and overruns on the account get out of control.
At some point, the credit binge is forced to stop as debtors demand payment and put a halt to any further debt increase. That day of reckoning usually happens when a strong Saturn aspect follows. In this case, the demand for accountability and fiscal tightening is due in 2020-2021, when Saturn conjoins Pluto, followed by Jupiter conjoining Saturn, and finally Saturn making its waning square to Uranus. It’s not just the U.S.A. that is under this pressure, although it does impact its founding chart. It is the whole world, and especially entities that have natal planets in 22-27° of cardinal signs. In addition to the U.S.A. founding chart, this includes Donald Trump, the Federal Reserve Board, Fed Chair Jerome Powell, and the New York Stock Exchange.
Can this be avoided? Must entities with planets in these degrees experience bankruptcy? Of course, this can be avoided. With awareness and free will to make choices, anyone under any aspect can choose to make decisions that are responsible, take into account the consequences of those decisions, and remain within the themes of those planetary dynamics. The cosmos, and the study of it known as astrology, is not a choice-maker. It is a choice-revealer. Here is the situation approaching: what choices are you going to make that will minimize the danger and/or maximize the opportunity? It’s a choice that is likely to be made based upon one’s consciousness of these matters and their potential outcomes.