Stocks slip after Saturn-Uranus aspect; Venus enters Virgo this week

Stocks took a breather last week from their July rally as the flow of upbeat economic news was countered by more signs the economy is slowing as US GDP numbers missed estimates. Despite some gains early in the week, the Dow relented and ended mostly flat closing at 10,465 with the S&P leveling off at 1101. Indian stocks eased off their recent highs as the Sensex fell more than 1% to close at 17,868 and the Nifty finished at 5367. The inability of stocks to push higher here was not surprising given the apparent passing of the baton from Jupiter to Saturn. Last week, I noted how the Saturn-Uranus opposition on Monday April 26 may mark a shift in the overall planetary energy. After all, the previous market top had occurred on April 26 and coincided with another Saturn-Uranus opposition. Did this phenomenon repeat its uncanny delimiting of the end of a rally and initiating a new, more negative phase? As always, time will tell, but last week's action has so far conformed to this expectation since the interim highs were put in within just one trading day of that aspect -- Friday in Mumbai and Tuesday in New York. Prices largely retreated afterwards as New York failed to push above key technical resistance levels.

So now we've had Saturn stare down Uranus. Now what? Has Jupiter really run out of gas and is no longer in a position to produce optimism that can push prices higher? Jupiter's proximity to Uranus is one important factor that could help support prices in the wake of the Saturn-Uranus opposition. And yet since Pluto is also now increasingly in the mix, there may simply be too much stressful energy available that would be conducive to buying. The problem for the markets is that Jupiter's aspect with Pluto is now separating and therefore it is losing energy. Since this was one of the engines of the July rally, this could be a worrisome development. And now Saturn appears to dominate the list of major aspects for the next few weeks. Mars conjoins Saturn today (July 31) and then Venus conjoins Saturn on August 8, Saturn opposes Jupiter on August 16 and Saturn squares Pluto on August 21. That's a lot of Saturn and given the high number of hard aspects involved in the near term, it seems unlikely the markets will be able to proceed in an orderly, predictable and especially positive way. Large swings may be more likely as a result of these aspects with the caution increasingly becoming the lowest common denominator.

Venus enters sidereal Virgo this week so that is another brick in the wall of worry that the market has to contend with. Venus is debilitated in Virgo so its usual free spending, happy-go-lucky self cannot fully express itself when it transits this sign. The presence of malefics Mars and Saturn in Virgo only compounds this problem and could well make spending and risk taking more problematic. As an added twist, Venus is coming up to its retrograde cycle that begins in October, so it is slowing down now. This means it will spend more time in its weakened state in Virgo and will transit in a close conjunction with Mars for several weeks. While this ongoing Venus-Mars combination may be suitable for courtship and athletic endeavours, it seems less favourable for investing. Mars aligns with the Jupiter-Pluto aspect midweek so that may spark some impulse buying although it is likely to be misconceived in some way and ultimately wasteful. Later in the week, Mercury is aspected by shadowy Rahu so that is likely to disrupt communication and normal patterns of commerce and trading.


"On the road from the City of Skepticism, I had to pass through the Valley of Ambiguity." -- Adam Smith

Stocks rise as Jupiter turns retrograde; Saturn-Uranus this week

Stocks climbed another rung up the ladder last week as positive earnings news persuaded more buyers to allay their fears and enter the fray. By the time all was said and done, the Dow gained more than 3% to close at 10,424 while the S&P finished at 1102. Sentiment was similarly bullish in Mumbai as the Sensex hit a new high for the year before closing at 18,130. The Nifty ended the week at 5449. This positive outcome was unsurprising given the twin influences of Jupiter and Venus last week. Jupiter's tight aspect with Pluto is still dominating the sky, all the more so perhaps because it stationed and began its retrograde cycle on Friday. And as expected, the midweek Venus-Rahu aspect roughly corresponded with higher prices as Venus (money, consumption) was teamed up with speculative Rahu (desires).

Now we're in the thick of the planetary jungle. There are an unusually high number of close planetary aspects this week which may correspond to new directions and solutions, as well as contributing to a more intense atmosphere. Jupiter's optimism appears to be receding into the underbrush here since it has embarked on its retrograde journey on July 23. Saturn will oppose Uranus on Monday, so this may signal a new dynamic or pattern into the marketplace. Their previous opposition aspect occurred on April 26 and coincided exactly with the top of the US market for 2010. To make things even more interesting, there is an alignment between Mercury (commerce), Mars (action), and Neptune (imagination, deception). This trio does not seem especially conducive for more risk taking. In fact, it may coincide with some kind of disappointment, perhaps from a plan that goes wrong. Mars is set to conjoin Saturn on Saturday July 31 so that is another potentially powerful combination of malefic energies that bears careful scrutiny. We may be on the cusp of something fairly important here, and not just for the markets.

Finally, I should note that the current planetary configuration conforms to a bearish pattern isolated in the research of Thomas Rieder in his book, Astrological Warnings and the Stock Market. Using the historical price record of US stocks, Rieder showed that if Mars was in conjunction to a slow moving outer planet (Jupiter on out) while in hard aspect (90 and 180 degrees) to one other outer planet, stocks would then fall significantly about 70% of the time. Here we have Mars conjunct Saturn while in opposition to Uranus and Jupiter and square to Pluto. Rieder's model only required one aspected planet, but we currently have three. It's hard to say if that increases the likelihood or the scope of the expected decline.

"Always first draw fresh breath after outbursts of vanity and complacency." -- Franz Kafka

Venus charms markets; Mars enters Virgo this week

After a promising start to the week, disappointing Q2 earnings from heavyweights like Google and Bank of America pushed stocks lower by Friday's close. The Dow closed down 1% for the week at 10,097 while the S&P finished at 1064. The story was somewhat better in Mumbai as Indian stocks continued to defy gravity hitting new highs for the year midweek. The Sensex ended Friday up almost 1% at 17,955 with the Nifty closing at 5393. As expected, Venus came through for investors in the earlier part of the week as its minor aspect with the Jupiter-Pluto aspect focused some positive energy that boosted sentiment. We saw gains accrue on most global markets into Wednesday when luxurious Venus was forming a close angle with optimistic Jupiter -- a very sweet combination indeed. Once Venus took her leave, doubts about the recovery returned as bad earnings reports and consumer numbers put a damper on the bulls' glee club. Last week I noted that the entry of the Sun into sidereal Cancer on Friday might "introduce a new dynamic into the mix". Did it ever! After previously topping out around 10,400 midweek, the Dow plunged almost 3% on Friday.

We're currently residing in a sort of planetary antechamber now awaiting the main event to unfold at the end of July. Jupiter begins its retrograde cycle on July 23, then it forms its exact square aspect with Pluto on July 25, while Saturn opposes Uranus for the last time on July 26 and Mars conjoins Saturn on July 31. Planetary calendars don't get much busier than that.

This week Mars enters sidereal Virgo on Tuesday ahead of its conjunction with Saturn. As we saw with the Sun's ingress into Cancer last week, sign changes can bring about significant market developments. Mars is a malefic planet and its surplus of energy can sometimes correspond with urgent or sudden situations that require quick reactions. The emphasis here is on action, so we could see increased volatility early in the week. Virgo is a sign that is associated with analysis and logical systems so the simultaneous occupation of this sign by Mars and Saturn suggests that rational adherence to formal knowledge systems may suffer increased stress in the days and weeks ahead. (N.B. Mars will remain in Virgo until September 6 while slow moving Saturn loiters for a full two years.) We can also spot a close aspect between Venus and unpredictable Rahu going into midweek that might increase speculative activity. Rahu is often a negative influence on stocks due to increased uncertainty but its combination with Venus, the eternal shopper, could convince some people to buy something they don't really want or need.

"Life is a school of probability." -- Walter Bagehot

Stocks rise after Uranus station; Jupiter-Pluto this week

Stocks rebounded worldwide last week as we got a let up in the stream of bad economic data and investors went bargain hunting. In New York, the Dow gained more than 5% before closing at 10,197 and the S&P finished the week at 1077. In Mumbai, gains were somewhat more muted as the Sensex climbed 2% to close at 17,833 and the Nifty ended Friday at 5352. Last week, I had written about the potential for "reversals of fortune" and "changes in plan" around the Uranus retrograde station on July 5 and the Solar Eclipse on July 11. As it happened, the recent losing streak may have come to a temporary halt around the 5th and the Uranus station as most markets bounced higher after the long holiday weekend in the US.

Now that Uranus is moving backward it is approaching its final opposition aspect with Saturn due for July 26. While it is possible we could see some negative fallout from this aspect ahead of that date, recent evidence would tend to suggest that stresses and disruptions arising from this clash are more likely to appear after the aspect is exact, i.e after July 26. The rise in prices in the wake of this Uranus station is perhaps testimony to its inherent symbolism towards freedom, independence and risk taking. A stronger Uranus will therefore often translate into higher stock prices since risk will feel more appropriate to the investment community. This prevailing sentiment may shift once Uranus again encounters the full force of Saturn's conservative and pessimistic nature in late July.

In the meantime, we can spot another intriguing pairing of slower moving planets in the square aspect between Jupiter and Pluto. Due to Jupiter's slower than normal motion in the month ahead of its retrograde station on July 23, this aspect seems to offer some help to investors since Jupiter's optimism is connected with Pluto's drive for power and large organizations. Perhaps we see significant attempts to solve major financial challenges facing the economy in the coming weeks. And yet given the backdrop of the Saturn-Uranus aspect, one wonders how successful such efforts might be.

Of particular note this week is an early week alignment between Venus, the planet of happiness, and the Jupiter-Pluto square. While Pluto is often malefic, this meeting involving two benefics tilts the scales towards the positive. The Sun enters sidereal Cancer late in the week so that may introduce a new dynamic into the mix.

Chaos is inherent in all compounded things. Strive on for diligence. -- Buddha

Ketu punishes markets; Uranus Rx and solar eclipse dead ahead

Gloom pervaded most world markets last week as the economic data coming out of the US continued to disappoint. There were more long faces on Wall Street as US stocks fell another 5% with the Dow closing under 10,000 at 9686 while the S&P ended the week at 1022. Indian markets were more steadfast against this bearish onslaught and ended only modestly lower as the Sensex closed at 17,460 and the Nifty at 5237. This negative outcome was unsurprising given the dominance of ascetic Ketu (South Lunar Node) in the sky last week. As I noted last week, spiritual ascetics like Ketu do not take much of an interest in money, and when they do, they can be dismissive of its importance. While Monday's Sun-Mercury conjunction did offer a short-lived boost to sentiment, especially in Asia where stocks managed a decent gain, the rest of the week was more decidedly bearish as US markets fell for five straight days. Both the Sun and Mercury had conjunctions with crazy, mad Ketu last week so that was the immediate cause for the rush to the exits.

More generally, we can see how the approach of the next Saturn-Uranus opposition is starting to take its toll on the market mood as US markets seem to have entered a new and more dangerous phase of this current correction that began in late April. Indian markets have largely been spared the bloodletting so far, although that can't continue indefinitely. Certainly, the economic fundamentals in India are stronger than the US economy and therein lies part of the explanation for their different paths. Astrologically, the natal horoscopes of the Indian stock exchanges are proving to be stronger in the face of these bearish transits. Natal charts are unique and so each entity -- whether a person, stock exchange, or corporation -- will be influenced in different ways by the same transits.

This week looks no less eventful as the Saturn-Uranus opposition is again highlighted by the retrograde station of Uranus on Monday, the 5th. As the planet of freedom and independence, there may be an even greater uneasiness in global sentiment as the restlessness of Uranus confronts the harsh reality of Saturn's unyielding structures. Volatility is likely to rise as investors may seek to reorganize and rebalance their portfolios in the face of new realities. There is a hectic or even occasionally frantic quality at work here that could manifest as sudden reversals of fortune, and unexpected changes in plan. To make things even more interesting, there is a total solar eclipse on Sunday July 11. Like planetary stations, eclipses also function as times of greater intensity and that are marked by interruptions of the status quo. Reversals are also more common near eclipses so if we have seen a down trend prevail leading into an eclipse, then the tables may turn around the eclipse date. Interesting times to be sure.