For a stock market more dependent on liquidity than fundamentals,
today's news came as a nasty surprise. If the Fed's largesse can no
longer be relied upon to underwrite the rally, investors may be forced
to reconsider their risk exposure. Even if the doom and gloom of
Omicron grabs the headlines, market moves are more closely associated
with liquidity. But liquidity may be in a shorter supply with a tighter
Fed and a blocked Congress after Senator Manchin's refusal to sign-off
on President Biden's signature spending proposal. Without these twin
growth engines, markets may become more vulnerable.
The current planetary situation suggests caution. While the ongoing
Venus retrograde cycle since December 19 has actually been largely
bullish, the cycle doesn't finish until January 29. This leaves the
door open for further volatility. In addition, the upcoming Mercury
retrograde station on January 14 is a source of concern since Mercury
turns retrograde while in a close three-degree conjunction with Saturn.
Of course, Saturn is the most bearish planet and Mercury retrograde
stations tend to coincide with pullbacks. Put them together and you
have a much stronger case for further selling.
I would also note that the Mars-Neptune square early next week is bearish. The bearish probability is elevated since it will activate the natal Mars (27 Leo) in the NYSE chart and the MC in President Biden's chart (26 Leo). The NYSE activation is perhaps more obvious since Mars (26 Scorpio) forms a 90-degree angle with Neptune (26 Aquarius) and together comprise a tense t-square. (Here we should note that all positions are sidereal and thus this exact alignment is less compelling if using the Western tropical zodiac as it is a few degrees out.)
The Biden natal chart is also afflicted by the Mars-Neptune square and is another reason why January could be very tough for the president and for financial markets. As noted previously, Saturn is currently sitting in a very tense square alignment with Biden's natal Mars (19 Libra) and likely reflects an array of challenges including insufficient Covid testing, lockdowns, inflation and sharply falling approval ratings. Saturn square to his Mars suggests more frustrations and failures this month while the Mars-Neptune square to his MC (10th house cusp) could coincide with a new trouble spot, possibly involving corruption (Mars-Neptune) or a new health challenge for the country.
Biden's chart is further afflicted by transiting Ketu (6 Scorpio) which is approaching a conjunction with his Sun and Venus. Ketu can be a wild card influence for good or ill but given the other negative influences here, it does not bode well for the president. Ketu symbolizes sudden and unexpected developments which tend to have a negative or ascetic effect upon the wishes of the individual. Since the Sun and Venus are involved, we could see his leadership (Sun) called into question or his economic policies (Venus) subject to more virgorous criticism. Since Biden's chart is the proxy for the US as a whole, these afflictions may well pertain to the country rather than to Biden personally. It looks like a difficult time in any event.
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