Interesting that we’re hearing the feds are going to take over mortgage giants Fannie Mae and Freddie Mac on the eve of Jupiter going direct in Capricorn. Jupiter is expansion and Capricorn rules the financial establishment.
The lingo Treasury Secretary Henry Paulson is using is “conservatorship,” but in reality the mortgage outfits are being nationalized — by a Republican Administration.
As many financial commentators have noted, these stopgap measures to prop up the U.S. financial system are merely postponing the day of reckoning. The Fannie/Freddie bailout is going to benefit the mostly institutional holders of its bonds and mortgage-backed securities, but owners of its common shares are still at risk.
If you’re looking for more detail on the bailout from a Wall Street source, here’s a link to my favorite money maven Barry Ritholtz.
One of my first posts when I started writing this blog on Mar. 17 made the link between Jupiter in Capricorn and the efforts of the U.S. government to avert a financial crisis by rescuing Bear Stearns.
Back then, Pluto was making its test-drive in Cap. Now, it’s back in Sagittarius and going direct. Hold on to your hats! This fall’s financial roller-coaster ride is just beginning!
Federal Reserve Chairman Ben Bernanke is dancing as fast as he can at the Fed, but ultimately Pluto in Capricorn is going to determine when the music stops. Pluto moves very slowly and it’s early days, since the demoted planet is only at 0 degree of Cap and will soon retrograde back into Sagittarius. Still, Pluto has the potential to bring about nothing less than a restructuring of the world financial system by the time it leaves Capricorn in 2024.
What might this entail? Well, the dollar’s descent could lead to the introduction of a new currency along the lines of the euro. Think it can’t happen here? Think again. A visionary friend of mine who has telepathic contact with the gnomes of Zurich 🙂 tells me the replacement for the U.S. dollar is called the “amero,” and that it will also incorporate the Canadian dollar (the “loonie”) and the Mexican peso, bringing together the currencies of the three partners in the North American Free Trade Agreement (NAFTA).
The once-mighty greenback might not be the only part of our financial system headed for extinction; the Fed also appears to be on the endangered species list. Mike Mandel of BusinessWeek is one top economics writer calling for the creation of a global central bank. You can read more about what Mandel has to say here.