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Pastimes : Astrological Influences: Financial and Global Trends -- Ignore unavailable to you. Want to Upgrade?

To: SBerglowe who wrote (533)	7/10/2002 7:31:18 AM
From: Raja	Read Replies (1) \| Respond to of 538

2002/3 MARKET FORECASTS FINANCIAL ASTROLOGY: It is NOT WHAT you know, but WHEN you know it. © Henry Weingarten Last Updated: 06/20/2002 17:38:13 Most of the following material has been serialized in WALL STREET, NEXT WEEK and our premium channels . This is our semiannual update from our 10th Annual Astrology and Stock Market Seminar May 17-18, 2002 in New York City. Note: Hyper links that are prefaced with a S: are restricted to WSNW Subscribers. There are five primary celestial and terrestial phenomena affecting world events and global markets in 2002/3: The third and last of Saturn Pluto oppositions on May 26, 2002, June 10 Solar Eclipse, The first of three Jupiter Neptune oppositions September 11 [and Feb 16 and June 3 2003], November US Midterm Elections, December 4th [and Nov 23, 2003] Total Solar Eclipse . Three Big Investing Ideas 1. US DOLLAR DECLINE CONTINUING IN 2002/3 The long term secular US$ rally is now clearly over despite the latest monthly trade deficit ONLY 316 Billion dollars. We are close to our P1 target of 112; P2 108. We expect to see the Euro .93-1.01 by 2003. 2. SATURN/PLUTO ENDS 2002 Our forecast for a global economic slowdown and fears of recession were well founded. However, our WSNW Mantra since 911 has been: "There is now light at the end of the tunnel as this aspect ends May 2002." As for 911 , one of its effects was Saturn (sense of security) in opposition (opposed by) Pluto (Terrorism). 3. JUPITER/NEPTUNE THEME: PREPARE TO PROSPER 2002/2003 Let the good time roll and will it be back to "What ME worry?" The curent trend of more realistic stock valuation that began with Jupiter/Saturn conjunction in 2000 MAY become lost with this new zeitgeist shift. For example, Jet Blue (JBLU) on 5/6 at 52 was three times greater than UAL and 2/3rd's American Airlines (AMR). Better instead enjoy buying at Christie May 31 at Rockefeller Center at their Wine auction [ruled by Neptune Christie's - Auction Calendar] -------------------------------------------------------------------------------- The key event of 2001 was 911 . From a purely economic view, this horrible tragedy ironically had positive implications for many market sectors ranging from security and defense to construction. This is/was primarily due to the economic stimulation and the relative unimportance in balancing the budget in 2002. Without 911, a budget deficit would have happened as both individuals and companies were underperforming. Furthermore, it forced an early capitulation, i.e. end of the Bear market, as stocks moved into stronger, instititutional hands. Thus after the First Saturn-Pluto opposition, we began repeating: Now THERE IS LIGHT AT END OF THE TUNNEL Saturn-Opposition Pluto ends May 2002! INVESTORS: FALL 2002 markets will be HIGHER than today. DIFFICULT PROGRESS: CLIMBING THE WALL OF WORRY Like many others we see a stronger second half world economy for 2002 and the markets. The question of how high is up will depend on how low markets go in the Spring of 2002. Will they retest Fall 2001 lows, Spring 2001 lows or even the October 98 lows? However, we are now in a "market of stocks" where stock selection and sector picking as well as market timing of the stock market counts. Two short term positives for the markets are the longer term effects of lower US interest rates (Don't Fight the Fed) and the post 911 spending programs. There is a well known tendency of markets to "climb the wall of worry" and we have seen plenty of this (worry) coming up. The cup is only half full as global economies deal with unemployment and additional bankruptcies follow through. However, today this is OLD NEWS! The profits from the Fall 2002 market rally will need to be protected against future potential bear assaults in 2003. We advise against returning to past excessive speculation as investor fear recedes. To quote a recent Citibank ad: “ Being filthy rich is so 1999. ” Junk bond defaults, one prime example, are at a post 1929 depression high and will climb yet highe this year. Still, the cup is half empty: stocks will perform better than cash AND bonds in 2002. UNREALISTIC EXPECATIONS OMG- Single Digit Growth? “If my mutual fund won’t give me 25% growth, sell it.” Nokia reduced its sales forecast to rise between 5% and 10%. It had earlier predicted 15% growth for 2002. That type of realistic, single digit growth is our Blue Chip benchmark. Low expectations lead to rallies. I enjoy positive surprises more than earnings disappointments. However, NOK at 16 is not cheap and is expensive above 14. Global Stock markets in 2002/3 will be determined largely by answering two questions: Q1: Will Investors re-evaluate P/E lower to traditional levels or higher towards " new economy" levels? Q2: Who will be helped/hurt the most by the lower US dollar? Intermediate term, we expect interest rates to increase to 3% due to growth, a lower US dollar and inflationary worries. One lurking potential danger is that it may become necessary for the FED to defend the US dollar and that will NOT be the cause for a major US stock market rally past DJIA 12,000. "Buy and Hold" is passe. Stock picking and Market timing will rule in 2002/2003. Successful investing will depend on knowing: When all the good news has already been factored into the share price, at what price is the valuation just too high? When all the bad news has already been factored into the share price, at what price is the valuation too cheap? Capital Preservation will no longer be as important for global investors as investor's fear fade away. It will instead go back to the future or time for growth. Leadership will now pass from Value to Growth. However, we advise caution and recommend an investment strategy paradigm of BUY and HOLD Growth stocks with at least reasonable valuation based on current and future profits. Remember, international money flows will no longer exclusively favor the US, with Asia and Europe garnering more future global interest. afund.com