WallStreetWeather.net Forecast For Week Of February 27, 2011

Summary Of Last Week’s Influences:
In the Forecast for the Week of February 13, I explained why I thought the February 18 Full Moon indicated a temporary market top that could lead to taking some profits as volatility began to rise.

Although the indices were negative for last week, market action remained pretty lame as the major indices have only slid back to where they were about three weeks ago after being on a tear ever since the Federal Reserve hinted last summer it would do a second round of quantitative easing.

Oil and gas is ruled by Pisces and its planetary ruler Neptune. Since the market’s close the previous Friday, the Sun, Mercury, and Mars had moved into Pisces which reflected a change in direction was possible following the usually bearish alignment of Mars conjoining Neptune February 20.

In the February 13 Forecast I wrote that “the push to dissolve autocratic regimes will continue at full force,” a theme that was originally echoed in my post on the Winter Solstice. As Egypt erupted, I cited the “rising tensions in Algeria and Libya as well.”

All of these protests and the overthrow of the leaders of Tunisia and Egypt are unlikely to have spread so quickly now without the protesters reliance on the internet which was born less than two months after Muammar Gaddafi took over Libya in a military coup. Jupiter conjoined Uranus in Libra and now as Jupiter and Uranus transit Libra’s opposite sign Aries, the public will have their opportunity to overthrow Gaddafi who behaves as if he’s playing a villain in a Hollywood movie.

With his Mercury and Jupiter in Gemini squaring Neptune in Virgo, Gaddafi blurs the line between fantasy and reality which is why he’s accused the protesters of taking drugs (Neptune) in Nestle mixed with milk. Gaddafi’s Mars conjunct Pluto reflects the brutality and aggression he will resort to in order to retain his power. But Gaddafi could be overthrown by the people by the end of this week (March 5).

The market seems to be convinced that $35 billion in stimulus is enough to keep the people of Saudi Arabia placated enough to not want to rebel. Yet over the next month Saudi Arabia and all the areas that have already experienced protests will only increase and expand further into Africa to encompass Nigeria. The market is underestimating the rising protests and increasing social unrest in China.

The uprising to overthrow the Gaddafi regime got underway February 15 – the same day protesters in Wisconsin demonstrated at the state capital over Gov. Scott Walker’s budget proposal to eliminate collective bargaining rights for most state and local employees. In a previous post I explained why Gov. Walker’s proposal had nothing to do with the budget and everything to do with enhancing his own star power through enacting the agenda of his political benefactors.

Pisces and Neptune describe fraud and deception. With the Moon in secretive Scorpio last Wednesday and Jupiter in Aries squaring Pluto in Capricorn, Walker and his chief of staff were deceived by blogger Ian Murphy pretending to be billionaire David Koch of Koch Industries, the second largest political contributor to his campaign. Jupiter in Aries squaring Pluto in Capricorn reflects that the plutocrats and the corporations have become so emboldened using their wealth to buy the system that they no longer feel the need to operate below the surface.

Gov. Walker held a news conference Wednesday afternoon claiming there was nothing that he said during the phone conversation that he hadn’t already said in public. Yet why was the governor discussing his strategy to destroy the unions with a private individual? Gov. Walker acted as if he was an agent of David Koch and not as the public servant to the people of Wisconsin. And if the financial situation in Wisconsin is so “dire,” why does Walker have 20 minutes to excitedly b.s. with “Koch” and appear on all the TV news shows?

Not only did the governor admit that his standoff with the unions is not about the budget, but he told “Koch” he had considered planting troublemakers in with the protesters but decided against it. Gov. Walker’s change of heart was not because it was immoral, but because of his concern that it might backfire on him.

By missing the deadline of getting the state’s budget approved last Friday, Gov. Walker forfeited the opportunity for substantial savings through refinancing state debt. The longer he refuses to negotiate solely on matters that directly impact the budget, the more money it will cost the state to finance their debt. This is why I wrote that things look difficult for Gov. Walker.

Summary Of This Week’s Influences:
The work week begins with the Moon (sentiment) in Saturn-ruled Capricorn, putting the focus on government and corporate structures. Since Capricorn rules history, the focus today could turn to past issues. This is appropriate since Uranus in Pisces squares the December 21, 2010 Lunar Eclipse in Gemini which can re-activate the energies and events in the news (Gemini) that occurred then. This energy is especially strong as Uranus is in the final degree of Pisces. The final degree of a sign represents things that are coming to an end and this is particularly true in Pisces, the final sign of the zodiac. Pisces absorbs all energies like a sponge. Now it is time to cleanse the sponge of everything it has absorbed as a new cycle is about to begin.

Uranus squaring the eclipse raises the potential for increased volatility from unexpected events that are connected to or in some way relate to events that occurred at that time. Markets could move outside the range of expectations; unexpected reversals are possible.

With all the attention drawn to the protests spreading through northern Africa and the Middle East, it is not surprising that North Korea is once again engaging in sabre-rattling to attract attention. As the U.S. and S. Korea begin 11 days of joint military exercises, the North says it will fire and destroy S. Korea border towns unless the South stops dropping leaflets over the North which criticize the government and mention the protests taking place in Egypt. The December 21 eclipse conjoined the North and South’s natal Uranus, indicating more surprises are underway that are likely lead to the reunification of Korea.

December 21 was when then NY AG Cuomo filed a lawsuit against Ernest & Young for civil fraud over helping Lehman Brothers disguise their debt as sales. Jupiter in Aries opposing E&Y’s natal Sun and Mars in Libra, squaring Saturn and Neptune in Capricorn and Jupiter in Cancer (together with Uranus in Aries about to square natal Uranus in Capricorn), could indicate new developments in the legal case that E&Y is likely to lose.*

Uranus can bring high winds, tornadoes, and earthquakes and in Pisces, flooding. On December 21 Australia declared a natural disaster zone in over 100 regions after experiencing the worst flooding in more than 20 years. The potential for earthquakes was strong at the Leo Full Moon in the current lunar cycle (February 18-25). Now Christchurch New Zealand has become a disaster zone after a deadly 6.3 quake struck on February 22.

Uranus rules electricity, electronics, and technology. The FCC passed net neutrality December 21, barring internet providers from discriminating against internet traffic but at the same time permitting broadband providers to charge more to companies requiring faster service to download movies, games, and other large files. On February 16 the House passed an amendment to the bill to fund the federal government through September 30 that blocks the FCC from enforcing the rules.

On December 21 the last Congress passed $250 billion in stopgap funding to keep the federal government running through this Friday, the day of the New Moon. For the moment, Republicans appear to be backing away from pushing for a government shutdown by proposing to spread out $4 billion in budget cuts during the remaining fiscal year rather than over the next month as part of a proposal to fund the government through the March 18 Full Moon.

It is interesting that March 4 marks the 222nd anniversary of the founding of the federal government. As I have previously written, the U.S. was born when Mercury (communications; legislation) was retrograde, and Mercury was retrograde when the federal government was established. This factor along with the federal government’s Mercury in Pisces exactly opposing the USA Neptune in Mercury-ruled Virgo explains why so much legislation enacted into law ends up being revised, repealed or becomes effective retroactively. (Neptune rules Pisces and in the federal government chart, Mercury forms a challenging alignment to Neptune in Libra which only increases the potential for legislation that is confusing and unwieldy from all the accommodations that were required to reach consensus in order to pass the legislation.)

A government shutdown last occurred during November 14-19, 1995 and December 16, 1995 – January 6, 1996 which backfired on the Republicans led by then House Speaker Newt Gingrich. Venus (money), Mars (action), and Jupiter (political philosophy) were transiting optimistic Sagittarius then, as Saturn the ruler of government (and blockages/delays) had turned direct in Pisces on November 21, 1995 right on the federal government’s Mercury which indicated the two political parties had reached an impasse. (The federal government experienced a Saturn return** in February 1995, a harbinger of the upcoming government shutdown.)

Jupiter (expansion) and Saturn (contraction) were sparring (squaring) each other during the last budget showdown, reflecting the Republicans losing the budget battle. Now Jupiter and Saturn are in opposition to each other (exact March 28) for the third and final time as the USA is experiencing a Saturn return. In 1995, the federal government’s progressed Sun in Libra was squaring the USA’s natal Venus and Jupiter in Cancer; now the progressed Sun squares the federal government’s natal Jupiter in Cancer.

Jupiter opposite Saturn reflects the opposing ideologies of the two political parties and the compromise required by both sides to avoid a shutdown. The Republican Party’s natal Neptune conjoins the federal government’s Sun, reflecting in this context that the Republican Party is prone to falling prey to the illusion that a government shutdown can help promote their agenda. The Republican Party’s progressed Saturn in Gemini squares natal and Progressed Neptune in Pisces and exactly squares the federal government’s natal Sun. Saturn is history and learning life’s lessons, as those who do not learn from history are apt to repeat it. A government shutdown proved to be detrimental to Republicans then and potentially could do so again.

I hope readers find it as interesting as I do that this budget funding process is following the lunar cycle. The current funding expires during the March 4 New Moon and the two parties are currently working on a bill to fund the government for another two weeks which would expire at the March 18 Full Moon in Virgo. Sandwiched in between is the March 12 First Quarter Moon in Gemini, the “crisis in action” phase of the lunar cycle. The quarter Moon conjoins the USA Mars and squares the USA Neptune, indicating things are likely to get overheated here and in our military endeavors abroad.

The Full Moon represents the peak of the lunar cycle when emotions are running highest, especially with the Moon at its closest point to the Earth now (perigee). The Full Moon in Virgo the sign of service and employment could reflect that certain government services and workers are being cut, eliminated, suspended or furloughed. The Virgo Full Moon re-activates the fourth and final opposition of Saturn in Virgo and Uranus in Pisces which occurred on April 26, 2010. The indices reached new highs from their March 2009 lows, and then began their descent as the Dow broke the 10,000 level just after Jupiter opposed Saturn for the first time May 23. Virgo rules health, and many market analysts keep saying the market could use a “healthy correction” and they could very well get their wish during the next month before the market resumes its upward trajectory.

The Moon will be in Uranus-ruled Aquarius Tuesday and until 11:47 AM Wednesday when the Moon enters Pisces through Saturday evening as the Pisces New Moon occurs at 3:46 PM. Venus (money; banking) enters Aquarius Tuesday evening until March 27 which can increase the potential for currency reversals and unexpected alliances and breakups.

“Unusually uncertain” describes Uranus, and Fed Chairman Ben Bernanke helped make it into a mantra last summer until the Fed formally announced QE2 and Congress passed tax cuts. Bernanke will appear before the Senate Banking Committee on Tuesday and the House Financial Services Committee on Wednesday to give his semiannual monetary policy report to Congress just as Jupiter and Uranus will be transiting the Federal Reserve’s Sun, Pluto, and the sector of the Fed’s chart representing its public image.

To add to the description of these transits I wrote about last November, Uranus in Aries is challenging the Fed’s power and is likely to demonstrate in one form or another that monetary policy can easily be overshadowed by other shocks beyond the Fed’s ability to control. While these energies could indicate a sudden and unexpected shift in monetary policy, there is greater potential for the politicians and the public to protest Fed policy. The Fed is likely to undergo a radical revamp as it faces greater scrutiny in how it conducts its operations.

Both the Fed and Bernanke have Mars conjoining Neptune, reflecting their actions inflate asset prices to create the illusion of wealth. With Neptune squaring his progressed Mars in Scorpio now, Bernanke will even more adamantly deny that monetary policy is causing inflation in food and energy prices. Yet oil and gasoline prices (Neptune/Pisces) have been increasing in spite of plentiful supplies and well before any of the protests began to erupt in the Middle East. I suppose there's no coincidence that the increase in food and energy costs in the U.S. and throughout the world just so happened to coincide with the second round of quantitative easing.

Monday, February 28, 2011
Negative early; reverses to positive but begins to weaken the afternoon; mixed close.

Tuesday, March 1, 2011
Positive.

Wednesday, March 2, 2011
Disappointing economic news keeps the market negative.

Thursday, March 3, 2011
Improving conditions as day progresses; positive close.

Friday, March 4, 2011
Positive.

*Advice to accounting firms: Although E&Y represents the merger of two old existing accounting firms (Arthur Young and Ernest & Whinney), Mercury retrograde is definitely not a good time to merge a business that is ruled by Mercury! A lack of planetary relationships to Mercury in E&Y’s merger chart means that Mercury’s energies can operate like a loose wire in either extreme. This can positively manifest as auditors who thoroughly scrutinize the company’s books (E&Y does have Mercury in its home sign Virgo). But taken to the opposite extreme it would describe some very liberal auditing. The Sun and Mars in Libra squaring Saturn and Neptune in Capricorn raises the potential for blurring the boundaries of generally accepted accounting principles to keep what was then one of its most profitable clients satisfied.

**A Saturn return is when Saturn returns to its natal position which occurs about every 29.5 years.

*** A mathematical calculation that moves the planets forward in time as a method of prediction.

Federal Government: March 4, 1789 12:01 AM New York City (The birth of the federal government represents the date the U.S. Constitution officially went into effect.)
USA: July 4, 1776 5:10 PM Philadelphia, PA
Libya: September 1, 1969 Tripoli
Muammar Gaddafi: June 7, 1942 time unknown Sirte, Libya

Gov. Walker’s Ideology Impeding Real Structural Change in Wisconsin; Future of Republican Party At Stake

“It’s like Cairo has moved to Madison these days.” – House Budget Committee Chairman Paul Ryan (R-Wisconsin) on MSNBC’s Morning Joe February 17

Living in the era of globalization it becomes easier to understand how Neptune’s energy dissolves boundaries and barriers in order to show how everything is interconnected. So it shouldn’t be surprising that when events occur in one part of the world, they spread like waves in similar fashion to other parts of the world.

With Neptune in Aquarius since 1998, the internet has given people unprecedented access to information and its social networks have enabled like-minded individuals to gather in groups which can lead to revolutionary change. The protests that toppled the leaders of Tunisia and Egypt have spread throughout the Middle East, and now the waves of protest have migrated across the Atlantic as thousands of public workers and their supporters have been protesting in Wisconsin since February 15 over Governor Scott Walker’s plan to cut benefits and collective bargaining rights for most state and local employees.

Pluto in Capricorn (2008-2024) is transforming government, corporate, and societal structures. Only by bringing the most harsh and toxic elements to the surface can Pluto’s total transformation take place as the old ways of governing and doing business must die to make way for a more solid and sustainable structure to arise in its place. Pluto rules debt, insurance, and pensions. Sky high healthcare costs and unfunded pension liabilities are the largest contributors to state and local budget woes. Pluto in Capricorn is transforming retirement as higher costs and living longer will delay the age that most people can fully retire (if they do at all).

Capricorn’s ruler Saturn squaring Pluto together with Jupiter opposing Saturn and Jupiter squaring Pluto last summer indicated that economic conditions were improving but remained weak, with much of the growth in the markets and economy attributed to fiscal and monetary stimulus. The opposing energies of deficit reduction (Saturn square Pluto) while “growing” the economy through tax cuts that primarily benefit large corporations and the wealthy is further expanding the deficit (Jupiter square Pluto). High unemployment and the incumbents’ feeble attempts at countering the opposition ensured Republican victories in most local and state elections throughout the nation along with a majority in the U.S. House of Representatives.

Pluto’s prominence indicates a deeper agenda is in play that extends far beyond what initially appears on the surface. The Supreme Court’s (Jupiter) decision last year allowing political groups to spend unlimited amounts of money without being required to reveal their funding sources allowed corporate donors to advance their agenda while operating privately behind the scenes.

Saturn represents the status quo whose ultimate goal is to destroy (Pluto) all types of government regulation (Capricorn/Saturn) to give them the freedom to grow their businesses (Jupiter) without regard to the health, safety, and wellbeing of the nation as a whole. They want to tilt Saturn in Libra’s scales in their favor by convincing people that any type of consumer protection will restrict (Saturn) their “freedom” to choose products and services that might benefit them.

Part of the “free market” argument is that products and services that may be detrimental for the majority to engage in might in fact be beneficial to a minority that they are part of. For example, payday loans in general are more likely to enslave working people but when used occasionally might benefit a few people. As long as the Republicans can convince the public that they are responsible enough (Saturn) to handle even the most egregious products and services, their freedom to choose should not be restricted.

Greed during the housing boom overshadowed any sense of responsibility in engaging in dangerous mortgage products, so personal responsibility is only a small limiting factor in trying to regulate the overall economy. Even Maestro Alan Greenspan was shocked that the survival instinct was not enough to curtail irresponsible lending practices by the largest banks, yet Republicans expect individuals to act with greater maturity than the nation’s largest financial institutions.

As the birthplace of the Republican Party and the public employees unions, Wisconsin has now become the battleground where these two divergent energies intersect. The transits of Pluto, Saturn, and now Jupiter and Uranus in Aries to the GOP’s natal Sun conjoining Mercury in Aries reflect the complete transformation of the party’s identity and message to an overly rigid, dogmatic, and extreme one that attacks anyone whose ideas differ from the Party’s point of view. Their strategy of fear mongering and constantly criticizing, together with a lack of cooperation and pragmatic solutions has sharply escalated since late 2009 when the Republican Party experienced a progressed* New Moon in Mercury-ruled Virgo which conjoined the Party’s natal Mars in Virgo. They think most of the public (Moon) resonates with their agenda rather than attributing their party’s gains to high unemployment (Virgo) and scaring senior citizens (Saturn) into believing their Medicare benefits would be cut under the healthcare legislation (even though they’ve actually been increased).

Aries is ruled by Mars; in the GOP’s chart Mars in Virgo opposes Venus in Pisces and squares Saturn in Taurus which reflects the GOP’s love of guns and military spending. These influences also reflect a lot of energy expended stubbornly adhering to rigid fiscal and social policies that financially benefit a limited number of individuals and corporations.

The son of a Baptist preacher who shares the same harsh and austere planetary signature of Mars squaring Saturn as the Republican Party chart, Scott Walker was born with the Sun conjoining Mercury in Scorpio - the other sign ruled by Mars prior to Pluto’s discovery. With the Republican Party’s Mercury in Aries conjoining his natal Saturn, Walker is communicating the GOP’s message in order to promote his career.

Walker has chosen to politically express his natal alignment of Venus, Uranus, and Pluto in Virgo through extreme (Uranus) views in order to attract attention and increase his political star power. These energies also express his desire to have power over curtailing women’s (Venus) reproductive (Pluto) rights. (Walker is against abortion with no exceptions and supports giving pharmacists the right to refuse to fill prescriptions for oral contraceptives.)

The true essence of Saturn in Libra (2009-2012) is to learn the lesson of cooperation and compromise. Jupiter opposing Saturn during March could show how out of balance our economic, political, and societal structures have become. Much work is required to rebalance Libra’s scales to bring equality to the nation’s laws and regulations.

Walker began his first term as governor in January by passing a total of $117 million in tax cuts for businesses before proposing his “budget repair bill” February 11 to address a $137 million budget deficit in the current budget and a projected $3.6 billion shortfall in the two year budget beginning July 1. Under Walker’s proposal, state employees would have to contribute 5.8% of their pay toward pension costs and pay at least 12.6% for healthcare premiums. Since the unions have said they would agree to these contributions, Gov. Walker’s agenda has little to do with fiscal discipline.

Pension shortfalls exist nationwide due to governments not funding them over the years. Most public pensions are defined benefit plans; the government defines the benefit but not the contribution. True pension reform would require governments to make the transition from defined benefit plans to defined contribution plans. In a defined benefit plan the government contributes a certain amount each year; the amount the employee receives depends upon the investment income accumulated over the years. But governments are reluctant to incur the transition costs to switch because no current employee contribution would be available to cover the costs of existing retirees.

The healthcare legislation which will finally close the gap between the healthcare haves and have nots does not fully take effect until 2014 as the legislation seeks to match revenue with expenses (and the Obama Administration wanted to appease opponents who claimed there needed to be a “transition time” which in the interim is having the opposite effect).

Republicans claim our current healthcare system is unaffordable for state governments, corporations, and individuals, yet they are battling to keep the current system in place! Beyond the many benefits in getting the nation covered, one of the major provisions of the healthcare legislation that Republicans are adamantly opposed to is determining what the most medically effective treatments are for the lowest cost.

The quickest way for governments to lower costs would be to put all current and retired workers into original Medicare or a state run plan to eliminate the cut taken by the “middlemen” (private health insurers). Alternatively, in 2014 governments could put all workers on the new exchanges which would be far cheaper than negotiating with the health insurers.

Gov. Walker claims his only objective is balancing the budget. Yet his proposal does not contain long term structural changes that address the root of the problem which is the essence of Pluto in Capricorn. The parts of the governor’s proposal that have sparked protests since February 15 and teachers calling in sick over the last three days are that wage increases would be limited to the CPI and unions would lose their collective bargaining rights. And in what has no relationship whatsoever to balancing Wisconsin’s budget is that unions would be required to hold annual elections and members could no longer have their union dues automatically deducted from their pay.

If the budget crisis was as “dire” as Gov. Walker claims it is, he would not have exempted firefighters, police, and state troopers from collective bargaining. The governor claims they were exempted because they provide public safety. (Apparently Gov. Walker believes teachers not showing up for work pose a greater risk to public safety than if police and firefighters go on strike.)

It just so happens that the unions who are exempt from the governor’s plan are the same unions who supported him in last year’s election. Cronyism, corruption, and power grabs is Pluto in Capricorn manifesting at its lowest level. Gov. Walker is using Wisconsin’s budget crisis to destroy the unions. He’s admitted as much in an interview when he said that by “pushing the envelope and setting an aggressive example, Wisconsin might inspire more states to curb the power of unions.”

Pluto was exactly squaring Gov. Walker’s natal Saturn in aggressive Aries February 14, the day the Senate introduced Walker’s proposal that has become Senate Bill 11. The Republican-controlled legislature was thwarted from passing the bill after all 14 Senate Democrats fled the state which left the 19 Senate Republicans one person short from obtaining a quorum to vote on the budget bill. Democrats say they’ll remain united and out of town until the governor takes collective bargaining off the table. (The governor’s stance that Democrats can offer amendments to change the bill but he refuses to renege on eliminating collective bargaining rights, again proves that this is not about the budget.)

Following the new Republican strategy, Gov. Walker refuses to back down, viewing this as an opportunity to increase his power and enhance his reputation on the national stage. Pluto squaring his natal Saturn in Aries reflects Walker’s threat to use his power as governor to call out the National Guard to fill in for the teachers who have called in sick in protest since last Wednesday. Saturn and Capricorn rule the police; Pluto squaring Walker’s Saturn in Aries reflects the governor dispatching state troopers last week to try to hunt down (Aries) Senate Democrats even though Wisconsin’s Constitution prohibits the police from arresting a member of the legislature when the legislature is in session unless a lawmaker is accused of committing a serious crime.

The light of the February 18 Full Moon in Leo (the sign representing leaders) exactly opposed Wisconsin’s progressed Neptune in Aquarius together with Madison’s natal Saturn conjunct Neptune in Aquarius (as transiting Neptune in Aquarius conjoins the natal planets). This reflects the rebellion (Aquarius) against the governor’s partisan agenda which ultimately seeks to dissolve the unions entirely. Just like in the Middle East, the leader through his cronies arranged for pro-Walker demonstrators (Saturn) to be bused into Madison Saturday in an effort to counter the protesters.

Jupiter in Aries squaring Pluto in Capricorn (exact February 25) describes a new level of political combativeness focused on promoting issues believed to generate the greatest confrontation to keep followers battling for “freedom” from “big government”, not understanding that their actions are part of the deeper agenda of corporate interests bent on advancing their own power and profits at the expense of individual power and freedoms.

Jupiter square Pluto exaggerates the increasingly blatant excesses and hypocrisy of the status quo. These energies also reflect a rapidly growing backlash by various groups who are asserting themselves against those seen as abusing their positions of power.

Like the protesters in the Middle East intent on removing their dictatorial rulers, a movement is underway aided by internet social networks to recall Gov. Walker for his refusal to compromise. The Jupiter/Pluto square impacting Walker’s natal Mars in Capricorn and Saturn in Aries increases Walker’s conviction that he must play hardball with the unions and the Democratic state Senators to further his political ambitions.

The Moon represents the general public. In particular it represents women (along with Venus). Mid to late March could be a difficult time for Gov. Walker as the March 11 First Quarter Moon in Gemini (the sign ruling teachers and primary education) squares the governor’s natal Venus and Pluto in Virgo while opposing his progressed Sun in Sagittarius. One week later the Full Moon conjoins his natal Uranus in Virgo just as Mars in Pisces squares his progressed Sun and opposes his natal Venus/Pluto/Uranus in Virgo. Virgo represents labor and healthcare issues; Mars in Virgo’s opposite sign Pisces represents actions that affect the collective.

Wisconsin’s chart is also being impacted by Mars in Pisces. Mars conjoins Wisconsin’s natal Neptune (February 25), squares natal Sun in Gemini (March 1) and Mercury in Gemini at the time of the March 11 Full Moon, followed by Mars conjoining natal Saturn in Pisces March 25. During this same timeframe Jupiter and Pluto are impacting Madison’s natal Uranus in Aries while the opposition of Jupiter and Saturn affects Madison’s progressed Uranus in Aries.

The protesters actions could erode Gov. Walker and the Republicans resistance, resulting in the budget bill being passed after the collective bargaining and other unrelated budget provisions are removed from the bill.

At the same these planetary influences are in play in Wisconsin, Uranus in Aries conjoins the Republican Party’s natal Sun in mid-March. A successful rebellion in Wisconsin against the GOP’s dogma could rattle the Party’s leadership. Neptune moving into its home sign Pisces April 4 and opposing the GOP’s Mars in Virgo could indicate the Party’s drive to maintain its ideological purity of no compromise could begin to backfire.

Ideological purity is of no value if Republicans are unable to accomplish anything. Repealing the healthcare law, net neutrality, funding for NPR and Planned Parenthood and other examples of mixing business with social issues not only fails to make the slightest dent in the deficit but only antagonizes rather than cultivates cooperation from the opposition. Passing these bills through the House is irrelevant if they can’t make it through to the President.

Neptune transiting natal Mars and then Venus in 2012 reflects that Republicans will need to stop pushing to pick fights and greatly soften their rhetoric by clearly demonstrating they are sensitive to the collective’s concerns (the nation as a whole) and are not solely at the beck and call of corporate interests as people begin to tire of their ideology. Neptune impacting the GOP’s Venus/Mars opposition could bring scandal or accusations of fraud.

Rep. Ryan’s remark comparing Cairo to Madison shows that Republicans are becoming concerned about a counterrevolution (Uranus in Aries) to their agenda to destroy the social safety net (Neptune). While the pendulum has swung away from the government largesse that emanated from the New Deal (the last time Uranus was in Aries), there are still limits (Saturn) to the amount of worker protections and rights the public is willing to sacrifice (Neptune).

The protests spread from northern Africa into the countries surrounding the Persian Gulf, and the protests in America are beginning to follow a similar playbook as they begin to spread from state to state.

*A mathematical calculation that moves the planets forward in time as a method of prediction.

Republican Party: March 20, 1854 “on a cold and windy night” Ripon, WI
Scott Walker: November 2, 1967 time unknown Colorado Springs, CO
Madison Wisconsin Inc.: February 3, 1846 time unknown
Wisconsin Enters the Union: May 29, 1848 time unknown

Politics In Play This Week

With the abbreviated holiday week and market action pretty lame right now, the Weekly Forecast is on hiatus this week as I am in the process of writing about what’s happening in Wisconsin which will be posted tomorrow.

In the meantime, I highly recommend reading Donna Dubinsky’s op-ed piece in today’s New York Times (“Money Won’t Buy You Health Insurance”) - especially for those readers who even after reading my many posts on this subject remain under the illusion that they would never be denied access to health insurance.

Politicians and “Fox and Friends” (i.e. WSJ editorial board) know they wouldn’t pass medical underwriting and understand how totally screwed up our uniquely American healthcare system truly is. The effort to destroy the healthcare legislation goes way beyond political payola. If opponents can use the healthcare legislation to rollback the definition of the Commerce Clause to the pre-FDR era, they can begin eroding consumer protections, environmental, worker safety, and other regulations on behalf of their corporate sponsors.

WallStreetWeather.net Forecast For Week Of February 13, 2011: “Love and Egypt’s Revolution 2.0 Edition”

Summary Of Last Week’s Influences:
As Egypt celebrated following the joyous news that President Hosni Mubarak had stepped down from power, Wall Street once again celebrated another week that saw the major indices reach multiyear highs. At 12,273.26 and 1,329.15 the Dow and S&P closed at their highest levels since mid June 2008. The NASDAQ at 2,809.44 is back to where it was on November 6, 2007.

Fridays are ruled by Venus, the planetary energy that presides over money, banking, and the energy of attraction. Venus is all about values with love being is the true essence of Venus energy. While the energy of love tends to be viewed as an emotion reserved for relationships from lovers to family and close friends, the love energy emanating from the Egyptian people’s jubilations stood in stark contrast to the man who for 30 years abused the energy of Venus by materially enriching himself with the wealth that belonged to the nation while the people struggled to get by.

Two weeks ago when I had explained why revolutionary change was erupting in Egypt I predicted that Mubarak:

“runs the risk of being forced to relinquish his power this week as Wednesday’s New Moon which conjoins Mars in Aquarius exactly squares his Sun and Mercury. Jupiter in Aries conjoins Mubarak’s natal Uranus in mid-February, further indicating it’s time for him to embark on a new life.”

But as I noted in last week’s Forecast, “true to the nature of his Sun and Mercury in Taurus, Mubarak is stubborn and resistant to change.”

Venus energies were particularly potent on Friday as the Moon which is our emotional barometer and represents the general public, was in Taurus, the sign ruled by Venus. The Moon is very strong in Taurus, reflecting the public’s determination to continue protesting was so strong that even Mubarak the stubborn Taurean that he is, was forced to let go. (The Swiss government announced Friday it has frozen “any potential assets” belonging to Mubarak and his “associates" which are estimated to be worth billions of dollars.)

Friday’s Moon in Taurus was even more powerful as the Moon squared the Sun, Mars, and Neptune in Aquarius, the sign of revolutionary change. The First Quarter Moon is called the “crisis in action” phase* of the lunar cycle as the Moon squaring the Sun (the leader) raises the emotional tensions which stimulates action to overcome obstacles and tackle the issues born out of the February 2 New Moon.

As Mercury in Aquarius was about to conjoin the degree of the Aquarius New Moon and square his natal Sun and Mercury in Taurus, Mubarak finally got the message that his days as “pharaoh” had come to an end. The First Quarter Moon and Mars squaring Egypt’s natal Pluto in Leo along with Egypt’s progressed** Sun and Pluto conjoined in Leo indicated a change of leadership and the chain of power. The Sun conjoining Mars describes the military is currently in charge of the country; their conjunction to Neptune reflects the military has dissolved Parliament and suspended the Constitution. The military is being led by Mohamed Tantawi who is the head of the Supreme Council of the Armed Forces and has been Egypt’s defense minister since 1991. With the February 18 Leo Full Moon squaring his natal Jupiter in Scorpio and opposing his progressed Mars in Aquarius, Tantawi must take swift action to begin Egypt’s transformation into a secular democracy to prove his loyalty now resides with the public.

From an age standpoint, Aquarius and its planetary ruler Uranus represent young people. Millions of Egyptians are in their late twenties, the age when they experience their first Saturn return around age 29.5 when Saturn returns to where it was at birth. This marks the complete passage to adulthood and the realization that being in charge of your life entails taking full responsibility for it. It is a time when the structure of an individual’s life is usually tested in some way.

As Egypt experiences its second Saturn return in October, many of the protestors were born the last time Saturn was in Libra. The protest movement was fueled after two policemen murdered Khaled Said June 6, 2010 after he posted video on the internet of them pilfering pot from a drug bust.

Said’s natal Saturn in Libra conjoined Egypt’s Saturn and Neptune in Libra, resulting in other people his age using the internet to connect in order to change the government (Saturn). Neptune rules drugs, martyrdom, inspiration, and the interconnectedness of all things. Said’s death profoundly affected Wael Ghonim just as he was about to experience his Saturn return, inspiring him to create the website “We are all Khaled Said.”

With his natal Pluto conjoining Egypt’s Saturn and Neptune, Ghonim would make full use of the internet’s social networking power to bring together millions of other young people who believed they had no real future unless they brought down the Mubarak regime. On leave from his job as Google’s marketing executive for the Middle East, Ghonim has become one of the leading figures in Egypt’s Revolution 2.0.

Many key transits will be impacting Egypt’s chart, particularly from late March to mid May that reflect the drive to establish a free and democratic country will be stronger than ever. The importance of what is happening in Egypt together with Tunisia and the protests throughout the Middle East cannot be underestimated as it shows that individuals have more power than they've been led to believe they do. More importantly, it demonstrates the ability of individuals to set aside cultural, religious, etc. differences to unite to bring about a society that is truly free, fair, and just for all (Saturn in Libra). This is also the true essence of Aquarius and Uranus where innovation and technological developments are used to benefit all of humanity rather than simply the status quo.

Something to think about as the USA experiences its eighth Saturn return this year.

Financials are usually the stand out sector when the Moon is in Taurus and Friday was no exception. The most important financial news of the week was by far the Obama Administration’s plans for Fannie Mae (FNM) and Freddie Mac (FRE) that are geared to improving the quality of mortgage securities rather than propping up housing prices specifically. Actions proposed include requiring a 10% down payment for all mortgages guaranteed by the GSEs, reducing the role of FHA, and ultimately the overall government support to the mortgage market to less than 50%.

The most important of these is the 10% down payment requirement. Regardless of interest rates, this will impede a great deal of buyers from participating in the mortgage market, while at the same greatly strengthening the mortgage securities that remain. Wells Fargo (WFC) has proposed an even more stringent requirement that all buyers must post a 30% down payment in order for banks to be relieved of the 5% mortgage security retention in the Dodd-Frank financial reform legislation. The final decision on the retention criteria will be up to the regulators.

Last week I wrote that Venus conjoining Pluto “tends to increase Treasury yields” and sure enough that day the 10 year note hit 3.770% intraday, its highest level since last April. As indicated, corporate mergers were also in focus as the NYSE and Deutsche Borse announced they were in “advanced talks” to merge in what would become the world’s largest exchange. Their announcement overshadowed the news of the merger of the London and Toronto stock exchanges.

Summary Of This Week’s Influences:
As I hope I’ve conveyed earlier in this post, love is the greatest and most powerful energy that exists. And I'm not saying this just because Monday is Valentine's Day! As I explained in a post three years ago, “love is always in the air.” Iran can ban Valentine’s Day, but will never be able to squash the power of love as protestors of the Iranian regime plan a march on Monday to show their solidarity with the Egyptian people. (Friday was the 32nd Anniversary of the overthrow of the Shah of Iran which marked the start of the Islamic Revolution.)

Mercury in Aquarius harmonizes with Saturn in Libra Monday as the Obama Administration releases its budget proposal for the government’s 2012 fiscal year. Budget director Jack Lew will testify before the House Budget Committee on Tuesday followed by Treasury Secretary Geithner on Wednesday.

The Moon (sentiment) is strengthened Monday as it is in its home sign Cancer Monday, the day of the week ruled by the Moon. However, its opposition to Pluto in Capricorn today can increase concerns over whether political disagreement will interfere with keeping the government running without interruption.

The Moon shifting into Leo the sign of speculation Wednesday and Thursday as the Sun conjoins Neptune in Aquarius and culminating in the Full Moon in the final degree of Leo at 3:36 AM EST Friday, could result in the market strongly reacting to rumors that might not be true. This Full Moon could be particularly intense as the Moon is at its closest approach to Earth (perigee). This is likely to increase the potential for severe and "freak" storms that can bring flooding as well as potential for earthquakes and tornadoes. The push to dissolve autocratic regimes will continue at full force, notably in Algeria and Iran and could get underway in Morocco, Saudi Arabia, the U.A.E., Oman, and Yemen. Ireland, France, Spain, India, Japan, and Papua New Guinea are other nations that could be prominently featured in the news at this time.

Mars conjoining Neptune (exact February 20) is likely to bring more incidents of gas and chemical explosions due to our decaying infrastructure. (The pipe involved in last Wednesday’s explosion in Allentown, PA was installed in 1928 - the last time that Jupiter and Uranus were in Aries!) The West Coast, especially the Pacific Northwest could be vulnerable to an explosion and/or flooding, as well as earthquake activity.

The Full Moon conjoins the USA’s progressed Ascendant in Leo and opposes the USA’s natal Moon in Aquarius which can indicate that events occurring over the next two weeks will alter the public’s outlook concerning U.S. foreign policy and military spending.

In the USA, the lineup of Mercury, Mars, Neptune and the Sun in Aquarius in the sector of the Full Moon chart representing the banking system could bring unexpected news of fraudulent and scandalous behavior. Neptune represents what is taking place behind the scenes as it attempts to blur the boundaries (that would be Saturn) between what is legal and illegal. With the Full Moon in the last degree of Leo, the Moon’s bright light could shine on major developments in the government’s three year criminal investigation into insider trading by hedge funds that pay for information from employees of public (mostly tech) companies moonlighting at the “expert network” firms who connect traders with corporate insiders.

These influences can also indicate an increase in inflation and inflation expectations as the Producer and Consumer Price Index reports are released Wednesday and Thursday. An unexpected increase in either or both reports might move the markets (and longer term Treasury yields in particular) but it will not influence the Fed (whose Minutes from last month’s meeting will be released on Wednesday) since they follow a different inflation barometer altogether.

Just as the Full Moon represents the peak in the lunar cycle, it can also signify that the market is peaking for the moment. The Moon shifting into Virgo before the market opens Friday can begin to temper Leo’s speculative enthusiasm as Mercury-ruled Virgo starts adding up the market’s recent gains and might decide it’s time to start taking a bit of profits off the table.

Venus in Capricorn squaring Saturn in Libra Friday can be another indication of a temporary market top even though the two planets energies are supportive to one another since they are in signs ruled by the other planet in what is called “mutual reception” as Venus rules Libra and Capricorn is ruled by Saturn.

Venus represents women, and French finance minister Christine Lagarde who is hosting the meeting is looking to broker a deal that addresses financial imbalances impacting most countries. Venus squaring Saturn reflects that one of the major points of contention at the G20 will be over imposing capital controls to regulate and restrict (Saturn) the flood (Neptune) of speculative (Sun) money (Venus) pouring into emerging economies where interest rates are much higher to control inflation.

Choppy/mixed conditions are likely to be more pronounced intraday this week along with the potential for sudden reversals which increase volatility.

Monday, February 14, 2011
Conditions weaken as the day progresses; negative close.

Tuesday, February 15, 2011
Improving conditions as the day progresses; positive close.

Wednesday, February 16, 2011
Positive.

Thursday, February 17, 2011
Choppy/mixed to negative.

Friday, February 18, 2011 (Options expiration)
Negative.

*As described by Dane Rudhyar in “The Lunation Cycle.”

**A mathematical calculation that moves the planets forward in time as a method of prediction.

Mohamed Hussein Tantawi: October 31, 1935 Egypt (time and place unknown)
Wael Ghonim: December 23, 1980 time unknown Cairo
Khaled Said: January 27, 1982 Egypt (time and place unknown)
USA: July 4, 1776 5:10 PM Philadelphia, PA

WallStreetWeather.net Forecast For Week Of February 6, 2011

Summary Of Last Week’s Influences:
Better than expected economic data indicating the economy continues to expand together with the “Bernanke Put” are two of the primary factors that helped propel the Dow and S&P to fresh 2+ year highs.

While the employment situation has been improving since the second half of 2010 (particularly since last August as the cycle of Saturn square Pluto came to an end), job growth is not increasing fast enough. Employers are still being nitpicky searching for the person who perfectly matches their criteria as if Saturn was still in Virgo. (With Saturn in Libra I guess employers are having difficulty making a hiring decision.)

While I thought that Friday’s nonfarm payrolls would have been better (36,000 vs. consensus estimates of around 150,000), there is the possibility that the number could get revised upward in the next report just as December’s was.

I have warned since the fall of 2009 that Jupiter conjoining Uranus could bring a spike in inflation but had been premature in predicting inflation would become a real problem starting in 2010 when Jupiter first conjoined Uranus.

Despite the Fed’s weekly buying as part of their second round of quantitative easing, yields on the 10 year note and 30 year bond reached their highest level since last May, primarily due to Fed Chairman Bernanke’s refusal to acknowledge that inflation has become a problem in the U.S. Yet there were more reports last week of companies such as UPS passing through or companies such as YUM Brands warning they will begin passing through rising commodity prices to consumers. And there’s been increasing evidence of companies stocking up on goods to stay ahead of price increases – evidence that shows that inflation expectations are starting to become “unanchored.”

Yet in his speech and Q&A at the National Press Club Thursday, Bernanke denied that Fed policy was fueling commodity inflation. For all his talk about the Fed working on a better “communications strategy,” Bernanke made it crystal clear during the Q&A session that “the way monetary policy always works is through interest rates and asset prices” which is the “whole idea” of this second round of quantitative easing. This is why the indices after being negative and choppy Friday morning turned positive in the afternoon since monetary policy is the foundation of the market's big rally since March 2009.

Most of last week’s news continued to be dominated by the protests in Egypt that became more violent as the Sun and Mars approached exact conjunction Friday. As I wrote in last week’s Forecast, “Mubarak runs the risk of being forced to relinquish his power this week.” Unfortunately Friday’s “Day of Departure” rally wasn’t able to accomplish its objective as true to the nature of his Sun and Mercury in Taurus, Mubarak is stubborn and resistant to change. So far the U.S. has not decided to cut/eliminate the $1.5-$2 billion a year the U.S. has given Egypt since 1979, with $1.3 billion of it going to military financing (with one third of that amount going to purchase U.S.-made military hardware - another form of U.S. corporate welfare for our military contractors).

Summary Of This Week’s Influences:
The Sun is the center of our solar system; without its energy, Earth and its inhabitants would not survive. The Sun is the central focus of a chart as it is the life force and the will to create. The Sun represents leadership and speculation – both require a strong sense of Sun-ruled confidence for success.

Sundays are ruled by the Sun, a day that many people pursue leisure activities. As the Sun, Mercury (news), and Mars (action) transits Aquarius the sign of technology and innovation, NASA announced today that its twin STEREO probes are now positioned on opposite sides of the Sun and have begun to beam 3D images of the Sun back to Earth. The probes will enable forecasters to not only more accurately project sunspot and CME activity that can affect all types of businesses; the information is also valuable to market watchers since solar activity influences stock and commodity prices. And as the press release points out, the probes will also track solar storms heading to other planets.

Tuesday is the 40th Birthday of the Nasdaq. The Nasdaq composite has increased almost 120% after making a multiyear low on March 9, 2009, yet is still down 45% from its March 10, 2000 record close of 5,048.62. The Sun in Aquarius harmonizing with Aquarius’ planetary ruler Uranus in Libra reflects the index’s emphasis on technology stocks. Uranus and Aquarius rule electronics, and the Nasdaq was the world’s first electronic stock market. As Uranus ends its 8 year sojourn in Pisces, it conjoins the Nasdaq’s progressed* Sun (exact February 28) as both oppose natal Pluto in Virgo. Additionally, the March 19 Virgo Full Moon conjoins the Nasdaq’s Pluto. This indicates that the Nasdaq’s volatility in either direction will be greater than the Dow and the S&P.

Yesterday Nasdaq OMX issued a statement after The Wall Street Journal reported the exchange’s computer network had been broken into by unidentified hackers who installed malware programs on a Web-accessible system called Director’s Desk containing information about the directors and top executives of several Fortune 500 companies.

Nasdaq’s disclosure of “suspicious files” on its computer servers comes one week after problems with its global index data service caused the Nasdaq Composite to be “unchanged” from the previous day’s close for almost the entire first hour of trading on January 28.

I wrote almost two years ago about cyber warfare becoming the new battlefield now. Pluto in Capricorn (2008-2004) indicates this is not just a government problem, but has major economic implications as well. Jupiter in Aries squaring Pluto (exact February 25) and Uranus in Aries squaring Pluto through 2015 indicate that cyber security is too lax.

Pluto is the wealthy lord of the underworld, and Pluto in Capricorn reflects the rapid rise in price of the wealth extracted from beneath the Earth’s surface. Pluto likes to carry out its business in private. Data mining (“business intelligence”) is occurring under the surface of the internet as companies attempt to monetize all the data compiled on individuals. Companies are doing this not only to better market their products/services to customers, but to sell the information they’ve gathered to other marketing interests either within their environment or for external purposes.

Back in the late 1990s, the dot.com mania was all about eyeballs (the number of people visiting a website). One Jupiter in Aries cycle later, data mining has become the new eyeballs. But as Uranus in Aries and Pluto in Capricorn start to square off during the next four years, the push to monetize all the information collected is likely to backfire as people rebel against the corporate big brother intrusion. Some individuals won’t be as angry about the privacy invasion but will demand companies compensate them for the exploitation of their personal information.

Venus in Capricorn squaring Jupiter in Aries as the week begins together with the Moon (sentiment) in Aries can create excess optimism that corporate profits will continue to expand.

The energies of Venus (money; banking) are particularly pronounced Wednesday as the Moon moves into Venus-ruled Taurus and Venus conjoins Pluto in Capricorn. Venus and Taurus rule net worth, while Pluto rules debt. This planetary pair tends to increase Treasury yields (the 10 year note auction which correlates to mortgage rates occurs this afternoon). The nation’s chief central banker will be testifying on the state of the U.S. economy at a House Budget Committee hearing chaired by Rep. Paul Ryan which is likely to move yields. Mortgage foreclosures, taxes, government aid, and corporate mergers could be some of the prominent financial issues now.

Friday’s First Quarter Moon in Taurus squares Mars and Neptune in Aquarius. The indices could be reaching a top between now and the February 18 Full Moon in Leo as news or rumors about deceptive financial conduct, fraud, or scandal leaks, raising the potential for a sudden selloff before the indices resume their upward trajectory. Egypt continues to be one of the top geopolitical hot spots. Other nations affected in Africa are Libya, Mauritania, Sudan, Zaire, and S. Africa. Action heats up in Pakistan and along the western coast of India. Gun violence could erupt in New Mexico, Texas, and Mexico.

Monday, February 7, 2011
Positive.

Tuesday, February 8, 2011
Positive trend bias.

Wednesday, February 9, 2011
Negative.

Thursday, February 10, 2011
Choppy/mixed to positive.

Friday, February 11, 2011
Improving conditions as day progresses; positive close.

* A mathematical calculation that moves the planets forward in time as a method of prediction.