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REVIEW AND PREVIEW
Stocks fell on Thursday after the European Central Bank slashed its economic growth forecast for 2019 and announced a new round of stimulus to help banks in the region, stoking worries over the global economy… The ECB’s announcements come amid lingering concerns over a possible economic slowdown across the globe. The Bank of Canada said Wednesday there was “increased uncertainty ” around future rate hikes… Data out on Wednesday showed that the U.S. trade deficit remains a problem. President Donald Trump has imposed a series of tariffs on countries like China, in an attempt to bring down his country’s trade deficit. However, Wednesday’s data showed that trade deficit in the U.S. hit a 10-year high in December. - Fred Imbert, “Dow Slides 200 Points as Wall Street Fears World Economy May Be Slowing,” https://www.cnbc.com, March 7, 2019.
Stocks fell on Friday after the U.S. government released employment data that badly missed expectations, adding to growing concerns that the global economy may be slowing down. The U.S. economy added just 20,000 jobs in the last month, marking the weakest month of jobs creation since September 2017. Economists polled by Dow Jones expected a gain of 180,000. “February’s anemic 20,000 new jobs will inevitably exacerbate widespread fears of slowing economic growth, making it harder to be optimistic about corporate earnings,” said Alec Young, managing director of global market research at FTSE Russell. “All in all, there’s little in this report to excite investors.” – Fred Imbert, “Stocks Fall as Weak Jobs Report Stokes Economic Growth Fears,” https://www.cnbc.com, March 8, 2019.
Last week witnessed a classic example of geocosmic signatures corelating with sudden reversals in financial markets, led by surprising and unexpected announcements from economic and banking leaders. The market trading climate for the week, as described in this column, was fairly accurate, as the DJIA fell nearly 1000 points and 4% from its high of the prior week to its low on Friday, March 8. Other global stock indices did fall the anticipated 4% or more just from Monday’s high on March 4 to the low of the day on Friday, March 8. The Japanese Nikkei, for instance, fell 8% in those four days. The Shanghai Composite of China fell over 5% in just one day from its cycle high on Thursday, March 7, to its low on Friday, March 8 .For educational purposes, it is useful to repeat those comments here, and then review them in more detail. The March 4 column stated the following regarding the market climate of geocosmic signatures in effect last week:
“This should be a most interesting week from the cosmic perspective. It actually started on Friday, March 1, with Venus (money and love) forming a waning square to Uranus (the unexpected, volatility, disruptions, and sudden changes). By itself this signature has a strong correlation to reversals in many financial markets, such as stock indices, within 4 trading days. On Tuesday, March 5, Mercury will begin its three-week retrograde motion in Pisces, which should be a peculiar period, for the “Trickster” will conjoin Neptune three times while in Pisces. Mercury rules data, like information and communication. Neptune and Pisces rule inspiration. But in Pisces, Mercury is debilitated, so the … result can be confusion, or news that is released as fact only to be disputed quickly as not-fact, and in fact, it comes across as misleading and contradictory. It doesn’t get any clearer this week when the new Moon in Pisces takes place on March 6, conjunct Neptune, the day after Mercury starts its retrograde motion in Pisces. “
Last week was also notable because on March 6, we witnessed the return of Uranus (unexpected surprises, disruptions) into the Taurus, the sign of money, currencies, and banks. As pointed out last week, March 6, also brought a new Moon in Pisces, conjunct Neptune (uncertainty, conflict between reality and delusion), and was one day after Mercury turned retrograde (change of plans). Naturally, the whole idea of a global economic miracle was suddenly reversed as the European Union and its central bank realized that it will fall short of its economic growth forecasts and will have to continue with its never-ending monetary easing behavior. It can’t raise rates because it fears the economy is too soft, after applying similar drastic monetary easing policies for the past several years.
The inability to resolve the Brexit crisis is not making matters any better for the EU, UK, or the rest of the world. As stated before in these columns, Brexit and the European Union will continue to muddle along, with no clear path to a satisfactory resolution, for an indefinite future, as the vote to leave the EU occurred under a strong Mars retrograde setup in late June 2016.
And now this past week, under the new Moon in Pisces with Mercury turning retrograde in Pisces, the entire world economy seems to be suddenly veering off course. One week ago, everyone was euphoric as stock indices soared to new highs for the year. Many indices continued that surge into Monday. Then, like the captain of the Titanic, everyone began to finally acknowledge that, yes, that is an iceberg up ahead, and we are about to run into it. The world economy – and especially the economy of the Euro Union – is not nearly as strong as economic, banking, and political leaders had led us to (falsely) believe. In fact, it is weak and may be on the verge of tilting.
Welcome to the middle part of Jupiter square Neptune (2019), as it approaches the cliff of the Capricorn Stellium by year end – a cliff that investors are beginning to sense is looming out there.
Thus, we see the two faces of Jupiter square to Neptune, with each in its mutable ruling signs of Sagittarius (exaggeration and hope) and Pisces (faith, but misleading facts). On the one side, you get the “irrational exuberance” that Alan Greenspan used to talk about when markets soared for no real reason other than hope and faith. Good news becomes exaggerated. On the other hand, you are vulnerable to hysteria and panic, where markets cascade for no real reason other than fear of the worst. Neither is real. Both are exaggerated. Truth and accurate information are elusive. Fake, or misleading news, is real. Thus, we have but one option to fall back on: trust in oneself.
In the meantime, the shock of last week’s change in the global and European economic outlook reflected the symbolism inherent in last week’s cosmic arrangement, and both equity and currency markets had a slight panic attack. The Euro futures sold off to new yearly lows and many world stock indices fell the expected 4% or more from their recent peaks attained just last Monday, March 4, just as historical studies related to these geocosmic signatures indicated they would.
SHORT-TERM GEOCOSMICS AND LONGER-TERM THOUGHTS
The Jupiter/Neptune square is being touched off now, as the Sun conjoined Neptune on March 6, and will square Jupiter on March 13. This “translation” indicates that we will see one face of the greater Jupiter/Neptune square, and that is the face of hysteria, fear, and panic. Thus, stock markets and the Euro currency are exhibiting a rather large sell off, coinciding with this dynamic.
With Mercury retrograde in Pisces through March 28, the news is apt to continue vacillating between hope and fear, exuberance and hysteria, a couple of more times in the next three weeks. It indicates a tricky and unstable trading environment, and one in which technical signals are likely not to be as reliable as usual. Traders are advised not to stay with a position for too long, as this climate suits only short-term speculators.
Be especially alert late this week and early the next, when Mercury retrograde reaches its midpoint (March 16-17). Any market that didn’t reverse around the time of the retrograde on March 5 is a prime candidate to make a reversal within a day of the retrograde midpoint (Friday or Monday, March 15 or 18). That could also be the height of confusion and uncertainty, the difficult side of Mercury retrograde in Pisces. Of course, there is a positive side too. It can be a time of great inspiration for those who are imaginative. It is also a fine time to take a vacation to a sandy beach in a warm climate, which is why I am speaking in Miami/Ft. Lauderdale this weekend. Looking forward to seeing several readers there.