Weekly Column: New all-time highs for several equities indices
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There has been a US consumer goods demand surge, as consumers have spent the savings they acquired against their will. Once those savings have gone, US consumers’ demand will be based off incomes, plus whatever credit they can get. But the real spending power of US income is now falling, as headline inflation exceeds income growth. This limits the power of future demand to push up prices indefinitely. Dr. Paul Donovan, “Time For An Inflation Fantasy,” UBS Morning Audio Comment, www.ubs.com/pauldonovan, August 13, 2021.
Global stocks indices are now making their move up into the spectacular full Moon-conjunct-Jupiter that takes place next weekend, August 20-21. Let’s see what happens after that Jupiterian euphoria, which will also take place with the over-excitable Uranus turning retrograde.
Several world equity indices made new all-time highs last week. In Europe, the German DAX, Netherlands AEX, and Zurich SMI all exploded to new all-time highs. The London FTSE also rallied to its highest mark since the Pandemic crash of March 2020.
In Asia and the Pacific Rim, The Australian All Ords and Indian NIFTY indices also raced to new all-time highs. Japan’s Nikkei, China’s Shanghai Composite, and Hong Kong’s Hang Seng each had fine weeks, but remain well below their highs of 2021.
The DJIA and S&P indices also soared to new all-time highs last week. But the NASDAQ in the U.S. did not, while the Brazilian Bovespa actually fell to a three-month low on Friday following another rate hike. It illustrates a reason why other central banks are reluctant to say anything non-accommodative about their policies today. Markets are way too sensitive to anything less than money for free.
It was a breathtaking week for Gold and Silver. On Monday’s pre-market, August 8-9, Gold and Silver got hammered. Shortly after the pre-market opened, Gold was down nearly $90, to 1677.90, testing its 1673.30 low of March 8. That happened to coincide with our monthly MMA Cycles Report, which became a special report on Gold, suggesting that the 1677.90 low was important support and could be the start of the next leg up in the 31.33-month Gold market cycle. Traders were encouraged to buy 1700-1725, which is where Gold declined to the very next day. Silver fell to 22.29, which was its lowest price since November. By Friday, Gold was above 1780 and Silver to 23.80. A similar move was seen in Crude Oil, which bottomed on Monday and began a sharp rally into the end of the week. Bitcoin was also up nicely last week, supporting our view that this is a newer primary cycle, and the early stages of all cycles are bullish.
Short-term geocosmics
As stated in the opening part of this week’s letter, everything is now leading up to the week’s Sun/Jupiter opposition on the same day as Uranus is changing directions into its retrograde period. This all takes place on Thursday, August 19. It will be just before the most stunning and visible celestial event of the year: the full moon conjunct Jupiter on Saturday evening, as the Sun sets and the Moon-with–Jupiter rises in the east. Make a note to get outside and view this.
Make a note that it could also coincide with a remarkable reversal in financial markets. When Jupiter is highlighted, optimism can be at a peak. It may even be exaggerated, for when Uranus is highlighted, the potential for sharp movements is also at a peak in equities.
Longer-term thoughts
“Age is a question of mind over matter. If you don’t mind, it don’t matter.”– Sachel Page, legendary baseball pitcher whose age was always in question.
“It is harder to crack prejudice than an atom.” – Albert Einstein.
I entertained conflicting thoughts during my last days in Europe this past week.
I realized there are some indisputable things I cannot change, and that discrimination still exists in societies everywhere. For instance, I cannot change my age. I cannot change my height. I cannot change the color of my skin. And I cannot change my sex. Yet people experience discrimination based on these very indisputable realities.
Yes, I know some people believe you can change your birth date to a time in which you had a revelation, or personal enlightenment, and this “new time of birth” replaces your actual birth data. That may be a belief, but it is not a fact.
I am also unaware of any manner in which one can change their height, except perhaps by wearing shoes or boots with heels or higher soles, but that is only a temporary illusion.
I do not believe one can change the color of their skin and hence their race, although some may try via medical procedures. It is not natural.
And some may also attempt to change their sex through medical procedures, or at least change their gender by simply deciding “I am a male or female” or some variation. I am not certain anymore if that is really science or a belief, or an attempt to redefine language by those who have assumed control of such determinations (Who are they? Did I have a vote or choice in the matter? Does it matter that I did or didn’t? Who determines that?).
The subject of these previously unalterable “facts” represents the conflict between Saturn (science, tradition) and Uranus (alterations, mutations, new awareness, revolutionary revisions in consciousness). It may also pertain to the Great Mutation of Jupiter and Saturn into air signs as of December 21, 2020, for the next 140 years, after spending most of their 20-year conjunctions in earth signs since 1802. Earth signs also pertain to science, whereas air signs – and especially Jupiter – have more to do with beliefs and newly applied or invented intellectual concepts. As this is the beginning stage of a 200-year cosmic cycle, these can portend major changes in societies everywhere.
The point is that we are indeed living in changing times. But one thing seems to remain constant: discrimination is based on factors that cannot be easily or arbitrarily changed. The conflict between the wisdom that comes from age and life-long experiences clashes with the idealism and beliefs of youth that are often not based on facts. The discord is exaggerated by the reality that some people never grow up, never develop an appreciation for facts, skepticism, or science, and will always hold onto their discriminatory beliefs, thinking that it is their right or truth. This in turn inhibits the growth of the collective in which the identity of the whole (humanity) is based heavily upon its weakest links.
You cannot force people to change, and you cannot force people to accept changes, even when they conflict with beliefs or science. But change does come about through evolution, and it begins with knowledge. In this regard, the Great Mutation in air signs offers hope, for air signs rule knowledge and new discoveries.
Now, if we can just learn to discern the difference between knowledge, facts, and beliefs, and understand that beliefs are not the same as facts, there might also evolve a movement towards more tolerance and acceptance of others who appear “different.” We see signs of this happening. Hence, we might be able to coexist in a world where diversity is truly a blessing, and its acceptance becomes more of a miracle and less of a complaint that keeps us separated, uncaring, and disrespectful of one another. We can do better. We can be better. And many indeed are evolving, as the cosmic arrangement of these times calls upon us to do.
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