Market Preview for the week beginning June 15, 2020

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Federal Reserve officials signaled plans to keep interest rates near zero for years. They projected the economy would contract anywhere between 4% and 10% this year. Mr. Powell played down the positive news from last week’s report that the economy unexpectedly added 2.5 million jobs in May. – Nick Timiraos, “Fed Plans to Keep Rates at Low Level for Years,” Wall Street Journal, June 11, 2020.

The Fed's dour forecast, and fears over a resurgence in infections, sent stocks plunging on Thursday. The Dow Jones Industrial Average tanked 1,861 points, or 6.9 percent, the fourth-worst one-day point drop on record. – Megan Henney, “Fed Warns Economic Damage from Coronavirus Pandemic Could be ‘Quite Persistent.’ www.foxbusiness.com, June 12, 2020.

“The Federal Reserve is wrong so often. I see the numbers also and do MUCH better than they do. We will have a very good Third Quarter, a great Fourth Quarter, and one of our best ever years in 2021.” Donald J. Trump @realDonald Trump, June 11, 2020 – Twitter.

The huge 1800-point Dow Jones Industrial Average (DJIA) decline on Thursday was an abrupt wakeup call to those who had succumbed to the irrational exuberance surrounding the peak of the post-crash rally that had occurred on Monday and Tuesday last week in most world indices. But then two things happened. First, worrisome news began to spread that COVID-19 cases were increasing much faster than expected. The lack of a cure combined with the opening of the economy and more testing was resulting in a disturbing new trend. Well, it wasn’t that unexpected to those who study the correlation of planetary movements to human activities. Second, the Fed made an announcement that it would keep interest rates very low into at least 2022. Normally that would cheer the market, but this was a cheerless announcement because the reason behind such accommodation was the realization that the economy is in trouble, despite what the stock market had been suggesting. This announcement by the Fed didn’t sit too well with investors who began selling equities in mass, or President Trump, whose own personal economic forecast was much rosier, perhaps due to his own personal irrational exuberance. After all, the President is the one who is undergoing transiting Neptune (planet of irrational euphoria) making a T-square to his natal Sun and Moon. Thus, it is a tale of two different worlds between the occupant of the White House and the Fed Chair. It will be interesting to see which of these two diametrically opposite economic forecasts is right.

Let’s step back a moment and review what has happened as seen by the cosmos. The first case of the novel coronavirus was reported on November 17, 2019, in Wu-Han, China, just before Neptune turned direct at 15-16 degrees of Pisces, exactly opposite the “super charged degree” of 15-16 Virgo (health) where Uranus and Pluto had conjoined in 1965-66. The orb of influence of this transit, and hence the possible time band for this pandemic to be a major force on the world’s health and maybe economy too, will last until about February 2021, with an orb of perhaps three months. The peak of COVID-19, in terms of its lethality, occurred March 20-31, along with the low of the stock market, as transit Mars conjoined Jupiter, Pluto and then Saturn, ending all of these cycles and beginning new ones with Mars.

Our next call was that the economies of the world would probably begin to re-open around the time of the triple retrograde, May 10-14, involving Saturn, Venus, and Jupiter. However, we also noted that with the re-opening occurring at the time of the triple retrograde, there would likely be a resurgence of COVID-19, which we are seeing now. It may not be over. In fact, there could well be another wave of this hard-to-contain virus occurring when Mars makes its long square to Jupiter, Pluto, and Saturn, August-January.

In the meantime, financial markets of the world have been shaken with extraordinary volatility, first from the one-month crash off their all-time highs of February 12-20 (Mars entering Capricorn and Mercury turning retrograde), in which many indices lost close to 40% of their value. That was the sharpest decline in one month in the history of the DJIA. But then the rally that followed was one of the most impressive ever, and led to return of the “irrational exuberance” typified by transiting Jupiter, stationary, and in a square aspect to Neptune in the founding chart of the New York Stock Exchange (founded May 17, 1792). With a one-degree orb, that transit was in force as of mid-April, and just ended this week. It will return again, but not until December 2020.

The opposite of irrational exuberance is panic and hysteria, the dark side of Neptune and/or Jupiter. When the economic and pandemic hysteria reached its peak in late March and early April, there was also present the first of three conjunctions between Jupiter and Pluto (April 4). That has shown itself historically to be an indicator of troubled waters, even panic and hysteria. That conjunction last occurred in December 2007, right at the time when the Great Recession started. It followed the stock market’s then all-time high in October 2007. In other words, the stock market high was two months before the aspect was exact, just as in 2020, where the all-time high of February was about two months before the same aspect of April 2020. Within two weeks of the first Jupiter/Pluto passage in 2020, the panic was at a peak. And now we are within two weeks of the second passage of Jupiter conjunct Pluto, which takes place on June 30. Investors experienced a return of that sense of hysteria and panic last week. Thus, as market analysis and financial astrologers, we are aware that this may be a warning of another financial crisis looming ahead.

This concern is further stoked by the realization that Saturn is now retrograde and will move back into Capricorn on July 1. It had moved out of Capricorn on March 22, which was during the peak of the recent panic. It returns to Capricorn July 1-December 17, covering the same sector of the heavens that it occupied from early February through March 21 – the period of the recent stock market collapse. When planets return to the sector they recently passed through, we oftentimes see human activity repeat similar conditions that were present then. It is a form of symmetry in the cosmos, which mundane astrologers pay great attention to.

Short-term Geocosmics and Longer-Term Thoughts

There are other astrological correlates of importance unfolding right now that correlate to the unusual nature of the times we are encountering. We are in the middle of two powerful eclipses: the lunar eclipse of last week, June 5, and the summer solstice eclipse of next week, June 21. Eclipses can correlate with great disturbances in human activity too, especially a total solar eclipse where the Moon (past) intersects and blocks out the light of the Sun (future). It is as if to say humanity needs to address its past imbalances in order to create a healthy and new path forward.

By themselves, eclipses do not have much of a correlation to stock market cycles. They have more of an effect on commodity markets and foods. But this solar eclipse of June 21, summer solstice, is very special because it happens at 0 degrees of Cancer, a cardinal sign. It also happens right in the middle of three planets that are changing directions: Mercury turns retrograde June 18, Neptune turns retrograde on June 22, and Venus turns direct on June 25. Three retrograde planets within a week of one another is rare, although it also happened May 10-14, when the economy opened up and spikes in the pandemic began to be reported right afterwards. Will some communities close back up now as we enter another triple stationary period? Will new cases of Covid-19 accelerate, prompting a new bout of hysteria in equity markets as we approach the second passage of Jupiter/Pluto on June 30? Or will there be a rebound first, leading the investor into another false sense of complacency and “irrational exuberance” that could quickly be dashed again?

With these planets changing directions – first in May and now in June – and Mercury entering its retrograde cycle (June 18-July 12), mutations in the virus may parallel mutations in the charts of financial markets. This is a mutation time, where things aren’t quite right, markets are skittish and erratic, and no one knows quite what to do or expect. It is a time of uncertainty, which is further augmented by all the Neptune aspects (Sun square Neptune on June 11, Mars conjunct Neptune on June 13, and Neptune retrograde on June 22). One commodity that could be impacted greatly by this combination is Crude Oil, which is co-ruled by Jupiter and Neptune. So might currencies, for with the total solar eclipse in zero degrees of Cancer, a cardinal sign, major trend changes may be noted in currency markets within five months, as observed in prior studies on Nodal ingresses moving out of cardinal signs. Total solar eclipses take place when the Moon’s Nodes conjunct or oppose the new moon. The Dollar may have recently topped out, or may top out shortly, say within 5 months of this eclipse, conjunct the Moon‘s North Node.

As if that is not enough geocosmic activity for the remainder of June, there is more. Heliocentric Mercury will pass through Sagittarius, starting this week, June 16-27. This is a notorious planet/sign combination for large price swings in many financial markets, especially Gold and currencies. So, let’s see. We have geocosmic indications of great confusion and uncertainty, combined with a tendency towards hysteria and panic, at the same time financial markets are prone to large price swings and sudden shifts. And right in the midst of all this is President Trump’s birthday this weekend (June 14). What happens on one’s birthday is a considered a theme for one’s year ahead. Good luck, Mr. President. You may need it. And may God bless America and our new 51st state, Chaz. It is all so Neptunian and everything seems so retrograde – a good time to practice peaceful protests, conscious meditation, and trust in your inner self, because really, under such strong Neptune transits and planetary stations, you cannot believe what you read, see, or hear. The truth is not out there. You know where it is. 

Announcements   

	The MMA Monthly Cycles Report for June-July 2020 and its sibling, Dutch SMT Cyclus Nieuwsbrief will come out this week. This month’s issue will address the next set of triple retrogrades coming up in the second half of June, which also coincides with the second of three passages of the Jupiter/Pluto conjunction on June 30. This is another very important period of potential primary cycle reversals for many markets. This month’s issue will outline the longer-term cycle labelings that these extreme moves (Jupiter/Pluto) indicate, and what they portend for the intermediate and short-term future. Every issue provides MMA’s outlook for the U.S. stock market, Gold and Silver, Treasuries, Euro Currency, Crude Oil and Soybeans. Each issue also contains MMA’s original geocosmic critical reversal dates (CRDs) and Solar/Lunar reversal dates over the next several weeks for DJIA, Gold, and Silver, complete with trading strategies for position traders during the next month. If you are not a subscriber to the monthly MMA Cycles Report and wish a copy of our outlook for financial markets, consider a 2 months trial for only 66 USD. Read more aboutMMA Cycles Report>> and/or SMT Cyclus Nieuwsbrief >>
	Jack Black of the United Kingdom had Raymond Merriman on as a guest of his Covid-19 Facebook live program on Wednesday, June 10. Jack was a good interviewer, asking questions about COVID-19 and the economy and astrology related to financial markets You may view the recording of the interview here - enjoy! To our Japanese subscribers, please note that Radio Nikkei will be conducting an interview with Raymond Merriman on June 18, 8:25 AM in Tokyo. These interviews are always informative, as their questions are always thought-provoking. http://market.radionikkei.jp/merriman/>>
	Assset Management with Market Timing Method By MMA Analyst in Netherlands Irma Schogt, colaborating with a MMA Analyst based in Switzerland, for asset management according to the MMA market timing method in Netherlands. Read more>>

Disclaimer & State of Purpose

The purpose of this column is not to predict the future movement of various financial markets. However, that is the purpose of the Schogt Market Timing & MMA (Merriman Market Analyst) subscription services. This column is not a subscription service. It is a free service, except in those cases where a fee may be assessed to cover the cost of translating this column from English into a non-English language.

This weekly report is written with the intent to educate the reader on the relationship between astrological factors and collective human activities as they are happening. In this regard, this report will oftentimes report what happened in various stock and financial markets throughout the world in the past week, and discuss that movement in light of the geocosmic signatures that were in effect. It will then identify the geocosmic factors that will be in effect in the next week, or even month, or even years, and the author's understanding of how these signatures will likely affect human activity in the times to come.

The author (Merriman) will do this from a perspective of a cycle's analyst looking at the military, political, economic, and even financial markets of the world. It is possible that some forecasts will be made based on these factors. However, the primary goal is to both educate and alert the reader as to the psychological climate we are in, from an astrological perspective. The hope is that it will help the reader understand these psychological dynamics that underlie (or coincide with) the news events and hence financial markets of the day.

No guarantee as to the accuracy of this report is being made here. Any decisions in financial markets are solely the responsibility of the reader, and neither the author nor the publishers assume any responsibility at all for those individual decisions. Reader should understand that futures and options trading are considered high risk.