(20 October 2021)
While the worst of the pandemic is behind us, it seems the full impact
of its economic consequences are only starting to be felt. Supply
chain disruptions are causing havoc all over the world as port
facilities are overwhelmed playing catch-up with the backlog as
consumer demand returns to something approaching normal. The
interruption in global trade has led to shortages in many goods and raw
materials and this scarcity has produced a rapid rise in both retail
and producer prices.
Inflation has risen sharply across many sectors such as energy, food,
base metals and other commodities. The consensus view is that these
supply bottlenecks are unlikely to end anytime soon. Even the normally
sanguine Federal Reserve is now admitting that its previous prediction
of inflation as "transitory" may have been too optimistic. Treasury
Secretary Janet Yellen expects these higher levels of inflation to
persist well into 2022.
An astrological perspective on this question also suggests we could be
in for extended period of economic disruption and elevated inflation.
Looking at the horoscope of the USA, we immediately notice the multiple
afflictions upon Mercury. This is a key point because Mercury is the
planet that represents commerce, transport and communications. When
Mercury is afflicted, then problems associated to these areas become
more likely. The initial pandemic and subsequent lockdowns in 2020
occurred while Saturn closely opposed Mercury. The August 1981 air
traffic controllers strike and subsequent mass firing by President
Reagan occurred as Rahu (North Lunar Node) was conjunct Mercury.
Currently, Mercury is afflicted by no less than three malefic planets -- Pluto, Ketu, and, to a lesser extent, Saturn. While slow-moving Pluto was exerting its negative influence on Mercury throughout last year's pandemic lockdowns, Pluto (0 Capricorn) is still opposite Mercury (3 Cancer). Pluto afflictions are known for their coercive and unpleasant qualities and often involve some exercise of power that blocks the free expression of will that otherwise animates the free market capitalist economy.
The Pluto opposition aspect is particularly difficult and is one essential ingredient in the current interruption of transport and commerce. But the really bad news here is that since Pluto only moves about 2 degrees per year, it will remain within range of the USA's Mercury through all of 2022 and into 2023. This suggests that the inflationary fallout of the supply chain breakdowns may be with us for a while.
Also, we can see that Ketu (South Lunar Node) is approaching its 5th house/120 degree aspect with Mercury. Ketu is another natural malefic that often brings troubles to Mercury-related significations. Ketu symbolizes disruptions of order, sudden upsets and the erasing of boundaries. Ketu (7 Scorpio) has been slowly backing into a closer alignment with Mercury (3 Cancer) for the past two months or so. And since it isn't due to exactly align with Mercury until February 2022, we should expect the current economic and transportation troubles to continue at least until that date.
And we can still point to the ongoing role of Saturn (12 Capricorn) in this situation. Saturn has been opposite Mercury for the past 18 months and may still be frustrating communications and undermining commerce. That said, it has now concluded its latest retrograde cycle and has begun to move further away from its opposition aspect. This suggests a gradually diminishing affliction although Saturn will remain in the sign of sidereal Capricorn well into 2022.
Overall, these ongoing afflictions to Mercury suggest that the situation is unlikely to substantially improve before the key holiday retail season. Perhaps the exact Ketu-Mercury alignment in Q1 2022 could mark the worst of it, after which the situation could start to improve. But the Pluto-Mercury opposition could indicate further economic problems for much of the rest of Joe Biden's term.
Weekly Market Forecast
Stocks have rebounded strongly in recent days on favourable corporate earnings and the promise of more QE support from the Fed despite rising inflation. Not surprisingly, we saw some gains in the early week as both Jupiter and Mercury stationed direct on Monday. Planetary stations (i.e. moments when planets reverse their apparent direction as seen from Earth) coincide with periods of greater planetary influence. Since both Jupiter and Mercury are considered natural benefics, their stations are more likely to bring gains in the stock market. Today's Full Moon hinted at some volatility but it proved to be a non-event.
The rebound likely has a bit further to go as the near-stationary Jupiter (28 Capricorn) remains in a close midpoint alignment with Neptune (26 Aquarius) and Pluto (0 Capricorn) here in late October. That said, Friday's Mars-Pluto square carries some downside risk, especially since both planets will be in the first degree of Libra and Pluto, respectively. The first and last degrees of sidereal signs can sometimes increase the manifested energy of the planets, for good or ill. Since both planets are malefics, the downside risk increases.
Photo credit: Marc
