Merriman Weekly Column

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In the end, nothing changed.

Barack Obama returns to the White House. The Democrats also retain control of the Senate. The Republicans, on the other hand, retain control of the House of Representatives and also a record majority of state governorships (30 of the 50 states now have Republican governors).

It is all about “Hope and Change” again. But in the end, there was no “change” – zero, nada. And if you measure “hope” by the reaction of Wall Street investors, there was little of that in evidence after election results were announced. On Tuesday, the day of the election and before the results were known, the Dow Jones Industrial Average was up 133 points, probably on the hope that there would be change – change away from gridlock and political paralysis. But when the results became known, the next day’s market activity began a fierce sell-off. By Friday morning, the third day after the election, the DJIA had fallen over 500 points. But hope started to spring back as the president scheduled a news conference Friday afternoon to address the impending “Fiscal Cliff.” The market was hopeful that he would show signs of willingness to compromise on his fiscal positions, as promised immediately after the election. The DJIA rallied 150 points from the morning low into the start of his speech based on that hope. But within minutes, it became clear that indeed there would be no change in his position, and the market promptly erased all those gains to close virtually unchanged. It is apparent that Wall Street doesn’t like Obama’s economic ideas, and they don’t believe his offer for compromise is sincere and/or will lead to an avoidance of the “Fiscal Cliff” that is due to strike on January 1.
At the end of the week, it was apparent that nothing has changed - not the leadership in the White House, Senate, House, or state governorships. Yet if I am reading the transits of next year correctly, there is indeed “hope” that things will change for the better next year. After all, Jupiter will soon be exalted in Cancer, as part of a remarkable grand trine involving Saturn and Neptune in water signs. And the USA is a Cancer country. If we can’t solve it then, it is almost certain there will be changes of another kind. Saturn will be firmly in Scorpio - a placement that doesn’t promise hope and change. It only promises change - or loss of power.

Yet the election provided a good week for precious metals. Gold, which had started the week under 1675, ended the week over 1730. Silver fell to 3065 as the market opened early Monday, but closed the week around 3260. Here was a market which clearly liked the fact that – in the end – there was no change in the political situation in the USA. In times of economic uncertainty, Gold thrives. The future of the world economy was uncertain going into the election, and …. nothing changed. At least, not yet.

Best Trades of the Past Week

Wednesday’s daily report for Gold futures (GCZ) stated, “Aggressive traders are flat and may look to buy at 1707 with a stop-loss on a close below 1690.” The low was 1703 and it closed the week at 1731. For the ETF on Gold (GLD), that same daily report stated, “Traders may look to buy at 165.50 with a stop-loss on a close below 163.50.” The low that day was 165.04 and it closed the week at 167.82. The long positions on Silver and its EFT (SLV) were initiated near the lows of the prior Friday, as given in last week’s column.

Short-Term Geocosmics

This week will find Neptune turning direct at 0º Pisces on Saturday, November 10, followed by a solar eclipse in Scorpio on Tuesday, November 13, and Mars entering Capricorn on November 16-17. These are all potentially important.

The Neptune station apparently is not coinciding with a dispute on the election counting – at least not at the national level. But it could still coincide with rumors and allegations of wrongdoing or deceptions in some other matters. It can also correlate with heavy rainfalls, snow, and/or floods. Perhaps it relates to the announcement that Iran shot at an unarmed American drone five days before the election. According to Friday’s Wall Street Journal, “The incident, which the Pentagon publicly confirmed after it emerged in news reports, reveals for the first time a classified U.S. surveillance program.” Hmmmm, makes you wonder who leaked that, and what the repercussions will be regarding White House transparency, especially as it occurred prior to an election but wasn’t revealed until afterwards. Here come more conspiracy theories!

The solar eclipse in Scorpio will highlight all things to do with Scorpio, such as the worldwide debt explosion that continues to erupt, and of course the impending USA Fiscal Cliff, which if allowed to be activated, is expected to lead to an immediate recession and a huge jump in unemployment. We are going to hear a lot of doomsday scenarios discussed on this matter this coming week, all consistent with the dynamics of Scorpio, sign of death, debts, and taxes.

But perhaps the most important geocosmic transit next week will be Mars ingressing into Capricorn, where it will remain until Christmas Day. This affects the Federal Reserve Board chart, created December 23, 1913. It is not uncommon to see the USA Central Bank make a policy decision nearby to a cardinal sign ingress like this. But this is also an ingress that coincides with escalating threats of military confrontations in the Middle East. Last week’s leak about Iran shooting at an American drone maybe the start of something that escalates wildly as Mars reaches a conjunction to Pluto and square to Uranus, November 23-27. If the stock market doesn’t get some encouraging news from the White House and/or Congress about the “Fiscal Cliff,” this aspect could coincide with a serious escalation of this current market decline.

Longer-Term Thoughts

“The American people gave President Obama a second chance to fix the problems that even he admits he failed to solve during his first four years. To the extent he wants to move to the political center... we’ll be there to meet him halfway.” Minority Leader Mitch McConnell, Wall Street Journal, November 8.

“People close to Mr. Obama said he was looking to send a message to Congressional Republicans… that he is willing to reach compromises on major initiatives.” Wall Street Journal, November 8.

"A second Obama term is going to mean a dismal few years of economic stagnation and political bitterness. It will tarnish not only the lame-duck incumbent but the Democratic brand, much as George W. Bush’s second term tarnished the GOP. Note well, Democrats: if Mr. Obama wins, Hillary Clinton will never become president.” – Bret Stevens, “Global View,” Wall Street Journal, November 6, 2012.

Compromise and “meeting halfway,” are positive and necessary sentiments as the United States returns the same factions of government to the balance of power they held before the election. That balance resulted in the most destructive gridlock the United States has experienced in modern times. This destructive behavior on the part of the U.S. government over the past 4 years – and indeed, over the entire world – is reflected in the dynamics of Uranus in waxing square to Pluto. This aspect will remain in force through March 2015, which is a very unsettling thought for Mundane and Financial Astrologers, particularly given the fact that they will be in an exact square at 13º of cardinal signs on April 22, 2014 – and forming a grand square with Jupiter and Mars in the same degrees of cardinal signs. But what is particularly disturbing is that the Sun and Saturn in the USA chart (July2 or July 4, 1776) are also in or nearby to those same degrees. And the Sun rules the nation’s leader and Saturn rules its government. The question has to be asked: what could happen to the USA if compromise and “meeting halfway” are not achieved by that time? What are the consequences if this gridlock between these branches of government can’t overcome their dysfunctional behavior?

There is a lot riding on the balance of power and the willingness to compromise in the next two years. With Saturn in Scorpio, it is a “Time of Reckoning.” It suggests that this cannot continue without a destructive result to the government and the office of the President itself. Fortunately there is another remarkable celestial pattern that is shaping up in the summer of 2013 that offers the promise of compromise and cooperation. It is a grand trine between Jupiter, Saturn, and Neptune, a planetary pattern that holds the promise of justice and fairness. At the same time, Saturn and Pluto will be in mutual reception and also in a waning sextile to one another. The sextile is an aspect of communication and cooperation, potentially affecting large masses of people. Because it is a waning sextile, it is designed to “solve a problem,” as opposed to the waxing sextile, whose function is to “create a new benefit.” And compromise and cooperation does not mean “agreeing with my side,” as both parties have this far insisted. It means “meeting halfway.” “Halfway” is all about finding a point in the middle where each side agrees to move off their cement footing.

The election is over and I wish to remind readers that the vast majority of professional astrologers were correct in their forecast about the outcome. At the United Astrology Conference, held in New Orleans in late May 2012 and as reported in this column, I emceed a panel of six professional astrologers on the Election 2012. They gave their astrological reasons as to the outcome of the election. All six concluded that their astrological studies indicated Barack Obama would be re-elected. It was consistent with the conclusions discussed in this column and the Forecast Book 2012 as well. I may have no joy about being right because of the continued gridlock that this “no change” election portends, but I am very proud of the fact that once again, the study of Astrology proved to be a valuable and accurate forecasting tool regarding the cycles of human activity.

Thanks for posting this update TM.

Thanks for posting this update TM.

You welcome. I just posted for next week.
TM