MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING SEPTEMBER 19, 2022 ©

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The Federal Reserve is likely to raise U.S. borrowing costs faster and further than previously expected after data on Tuesday showed underlying inflation broadening out rather than cooling as expected. Overall consumer prices climbed 0.1% last month from July — economists had expected a decline — and gained 8.3% from the year-earlier period, the Labor Department reported. – Ann Saphir, “Fed Seen Getting More Aggressive As Inflation Soars,” www.reuters.com, September 13, 2022. 

The world economy is experiencing the biggest structural upheaval in two hundred and fifty years—being certain and decisive about policy is perhaps unwise.– Dr. Paul Donovan, “Russian Roulette,” www.ubs.com, September 1, 2022.

This is what happens when you combine a Mercury retrograde in an air sign with an applying double semi-square to Saturn and Uranus from Jupiter. It’s why chiropractors will be in great demand from the whiplashes due to the whipsaws in financial markets since September 6 and likely to continue into September 28 and maybe a little beyond. Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING SEPTEMBER 5, 2022 ©

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The economy added 315,000 jobs for the month, just below the Dow Jones estimate for 318,000 and well off the 526,000 in July and the lowest monthly gain since April 2021. The unemployment rate rose to 3.7%, two-tenths of a percentage point higher than expectations. A broader measure of unemployment that includes discouraged workers and those holding part-time jobs for economic reasons rose to 7% from 6.7%. – Jeff Cox, “Payrolls Rose 315,000 in August,” September 2, 2022, www.cnbc.com.

U.S. mortgage rates rose to their highest level in two months after Federal Reserve Chairman Jerome Powell promised to deliver “forceful” action on inflation that he warned would cause economic “pain.” Mortgage buyer Freddie Mac said Thursday that the average rate on the 30-year loan this week rose to 5.66% from 5.55% for the week ending Sept. 1. The rate is well above the 2.87% recorded just one year ago. – Megan Henney, “Mortgage Rates Climb to 5.66%,” September 1, 2022, www.foxbusiness.com.

In the week that followed Fed Chair Powell’s warning that the Fed is willing to abort a “soft landing” in deference to its determination to subdue inflation and the economic pain it might cause, the stock markets of the world granted him a big first step in that direction. Pain was everywhere, from stocks to precious metals, currencies, Treasuries, and Crude Oil. Unlike past press conferences, the Fed did little to create a sense that it has our backs. And in response, investors fled the scene of a renewed disaster-in-the-making. Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING AUGUST 29, 2022 ©

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Federal Reserve Chairman Jerome Powell delivered a stern commitment Friday to halting inflation, warning that he expects the central bank to continue raising interest rates in a way that will cause “some pain” to the U.S. economy. – Jeff Cox, “Powell Warns of ‘Some Pain’ Ahead as the Fed Fights to Bring Down Inflation,”  www.cnbc.com , August 26, 2022. 

The Fed spoke and the markets broke.

After forming a half-primary cycle crest the prior week as the Sun made a T-square with Saturn and Uranus, followed by the Venus/Jupiter trine, stocks sold off into the Uranus retrograde of Wednesday, August 24.They then staged a 2-day rally into Friday August 26, as Venus moved into its T-square with Saturn and Uranus (August 26-29). Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING AUGUST 22, 2022 ©

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 “This fresh chill has descended amid fears that the market is heading for a crypto winter. Although at $21,800 Bitcoin is still some way off its June lows of under $19,000, volatility is once again wracking the market.” – usannah Streeter of Hargreaves Lansdown as reported by Jenni Reid, “ Sudden Crypto Market Drop Sends Bitcoin Below $22,000,” www.cnbc.com, August 19, 2022.

The Federal Reserve says it is going to keep raising interest rates. Wall Street thinks it’s bluffing. –Akane Otani, “Wall Street Bets the Fed is Bluffing in Inflation Game,” Wall Street Journal, August 19, 2022.

 Global stock markets reached a new cycle peak last week, on August 16-17 in most cases, coinciding with the Sun’s T-square to Saturn/Uranus August 11-15 and the favorable Venus trine Jupiter on August 17. The high of August 16 in several stock indices also coincided with the ingress of heliocentric Mercury into Sagittarius, August 16-29. Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING AUGUST 15, 2022 ©

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Biden’s big spending bill takes $80B of OUR money to hire more IRS agents … to take more of OUR money and snoop on what we share on Venmo/Cash apps. They are not going after the wealthy. They’re coming for small businesses, entrepreneurs, and hardworking Americans – Tulsi Gabbard @TulsiGabbard, Twitter, August, 9 2022. 

Argentina’s central bank raised its benchmark interest rate by 950 basis points on Thursday as the country struggles to keep a lid on spiraling inflation that rose to a 20-year high of 71%, according to new data.The central bank raised the benchmark “Leliq” rate for the 28-day term to 69.5% from 60%, a rate the bank set just two weeks ago when it hiked the rate by 800 basis points” – Reuters, “Argentina Hikes Interest rates to 69.5% as Inflation Hits 20-Year High,” August 11, 2022, www.cnbc.com 

It was a perfectly normal week as far as lunar signs go, as the U.S. stock market made a high on Monday, August 8, with the Moon in Sagittarius, a low on Tuesday with the Moon in Capricorn, and then a much higher high on Friday with the Moon in Aquarius. But it was also a highly unusual market (and political) week in another sense Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING AUGUST 8, 2022 ©

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 U.S. job growth unexpectedly accelerated in July, defying fears of a slowdown in hiring even as the labor market confronts the twin threats of scorching-hot inflation and rising interest rates. Employers added 528,000 jobs in July, the Labor Department said in its monthly payroll report released Friday, blowing past the 250,000 jobs forecast by Refinitiv economists. The unemployment rate, meanwhile, edged down to 3.5%, the lowest level since the COVID-19 pandemic began more than two years ago. The U.S. has now replaced all of the jobs that were lost during the pandemic. – Megan Henney, “U.S. Economy Adds 528,000 Jobs in July, Blowing Past Expectations.” www.foxbuisnessnews.com, August 5, 2022.

In the week that witnessed the extremely rare conjunction of Mars, Uranus, and the Lunar North Node in Taurus on August 1 and our geocosmic critical reversal date of August 4, many financial markets exhibited interesting performances. Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING AUGUST 1, 2022 ©

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The Federal Reserve on Wednesday enacted its second consecutive 0.75 percentage point interest rate increase as it seeks to tamp down runaway inflation without creating a recession. Powell said he does not think the economy is in recession, though growth was negative in the first quarter and was expected to be barely positive in the second quarter. “Think about what a recession is. It’s a broad-based decline across many industries that’s sustained more than a couple of months. This doesn’t seem like that now,” he said. “The real reason is the labor market has been such a strong signal of economic strength that it makes you question the GDP data.” – Jeff Cox, “Fed Hikes Interest Rates by 0.75 Percentage Point for Second Consecutive Time to Fight Inflation, www.cnbc.com, July 27, 2022. 

The U.S. economy shrank in the spring for the second consecutive quarter, meeting the criteria for a so-called technical recession. Gross domestic shrank by 0.9% on an annualized basis in the three-month period from April through June. Refinitiv economists expected the report to show the economy had expanded by 0.5%. – Megan Henney, “US Economy Enters Technical Recession After Growth Tumbles 0.9% in the Second Quarter,” www.foxbusiness.com, July 28, 2022.

Two skyscraper-size asteroids are zooming toward Earth this weekend, with one making its closest approach on Friday (July 29) and the second whizzing by on Saturday (July 30). –  Brandon Specktor, “Two skyscraper-size asteroids are barreling toward Earth this weekend,” www.livesceince.com, July 28, 2022.

 Interest rates rise sharply again, GDP falls into negative territory for the second consecutive quarter, two asteroids are barreling towards Earth this weekend, and the stock market loves it! It sounds like Jupiter rising. Actually, Jupiter is peaking. That is, the Big Guy (no, not President Biden, but the king of the gods) turned retrograde in Aries on Thursday, and this weekend (July 30), he will be trined by the Sun. Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING JULY 25, 2022 ©

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The ECB meets to decide on rates and bond market intervention. The ECB has guided very clearly that it intends to raise rates by 0.25ppt. A different increase would destroy such credibility as the ECB possesses, without bringing any inflation benefit. Raising by 0.50ppt today would not alter the inflation outlook. Faster tightening can be achieved over time, without sacrificing central bank credibility. – Paul Donovan, Economist, UBS Morning Audio Comment, www.ubs.com/pauldonovan, July 21, 2022. 

The European Central Bank on Thursday increased interest rates for the first time in 11 years…  The ECB surprised markets by pushing its benchmark rate up by 50 basis points, bringing its deposit rate to zero. Traders had expected a smaller hike of 25 basis points. – Sylvia Amaro, “European Central Bank Surprises Markets With Larger-Than-Expected Rate Hike,” www.cnbc.com, July 21, 2022. 

The bulls took the lead in the tug of war for control of the trend in world stock indices last week as major resistance was broken in many markets. This was accomplished even as the European Central Bank raised rates twice as much as they had been stating that they would, and the FED continues to suggest another large rate increase will be enacted next week. Suddenly investors are buying the prospect of higher rates, when very recently they were selling on the same outlook. Why? Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING JULY 18, 2022 ©

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Investors are trying to assess how officials will balance the need to tame inflation with concerns over a potential recession. U.S. consumer inflation accelerated to 9.1% in June, a pace not seen in more than four decades, boosting expectations among traders that the Federal Reserve will raise interest rates more aggressively to tame it. At the same time, tighter financial conditions could weigh on growth. – Caitlin Ostroff and Justin Baer, “Dow Rises Nearly 600 Points on Retail Spending Data,” https://www.wsj.com/, July 15, 2022. 

The tug of war for control of the trend in world stock indices continues. On Thursday, it looked like the heartbeat of the bulls was barely audible. But by Friday, it showed signs of life again. The lows of June 16-20 continue to hold in many regions, which supports the bullish case for a significant rally. Yet the chart pattern continues to exhibit lower highs and lower lows of any cycle other than a 2-4 week trading cycle in the U.S., and that has to change if the bulls are going to gain control. Continue reading…

MMA FREE WEEKLY COLUMN FOR THE WEEK BEGINNING JULY 11, 2022 ©

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Job growth accelerated at a much faster pace than expected in June. Nonfarm payrolls increased 372,000 in the month, better than the 250,000 Dow Jones estimate. The unemployment rate was 3.6%, unchanged from May and in line with estimates. June’s gains marked a slight deceleration from the downwardly revised 384,000 in May. April’s count was revised down to 368,000. “The strong 372,000 gain in non-farm payrolls in June appears to make a mockery of claims the economy is heading into, let alone already in, a recession,” said Andrew Hunter, senior U.S. economist at Capital Economics. – Jeff Cox, “Payroll Increased 372,000 in June, More Than Expected, as Jobs Market Defies Recession Fear,” www.cnbc.com, July 8, 2022. 

It really is a struggle between the bulls and bears with global stock markets right now. The chart pattern is still bearish in many indices like the DJIA and S&P with lower highs and lower lows of each trading cycle since the all-time high of January 5, except for the token new high in the DJIA on April 21 that was not matched in either the NASDAQ or the S&P. However, the NASDAQ took out its recent high (June 28) on Friday, July 8, while the other two U.S. indices did not (yet). This same case of intermarket divergence is unfolding in other regions, too, since the possible intermediate-term cycle low that occurred on June 17, when Venus squared Saturn, is still holding in most indices. Continue reading…