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Spin models of markets inspired by physics models of magnetism, as the Ising model, allow for the study of the collective dynamics of interacting agents in a market. The number of possible states has been mostly limited to two (buy or sell)…

物理与社会 · 物理学 2021-12-14 Stefan Bornholdt

In setting up a stochastic description of the time evolution of a financial index, the challenge consists in devising a model compatible with all stylized facts emerging from the analysis of financial time series and providing a reliable…

统计金融 · 定量金融 2009-11-13 Fulvio Baldovin , Attilio L. Stella

We study the time dependent cross correlations of stock returns, i.e. we measure the correlation as the function of the time shift between pairs of stock return time series using tick-by-tick data. We find a weak but significant effect…

统计力学 · 物理学 2009-11-07 L. Kullmann , J. Kertesz , K. Kaski

Information theory provides ideas for conceptualising information and measuring relationships between objects. It has found wide application in the sciences, but economics and finance have made surprisingly little use of it. We show that…

统计金融 · 定量金融 2013-05-02 Galen Sher , Pedro Vitoria

An empirical study of joint bivariate probability distribution of two consecutive price increments for a set of stocks at time scales ranging from one minute to thirty minutes reveals asymmetric structures with respect to the axes y=0, y=x,…

物理与社会 · 物理学 2008-12-02 Andrei Leonidov , Vladimir Trainin , Alexander Zaitsev , Sergey Zaitsev

We propose a set of dependence measures that are non-linear, local, invariant to a wide range of transformations on the marginals, can show tail and risk asymmetries, are always well-defined, are easy to estimate and can be used on any…

统计金融 · 定量金融 2023-09-04 Aleksy Leeuwenkamp , Wentao Hu

In this brief review, we critically examine the recent work done on correlation-based networks in financial systems. The structure of empirical correlation matrices constructed from the financial market data changes as the individual stock…

计算金融 · 定量金融 2020-04-21 Vishwas Kukreti , Hirdesh K. Pharasi , Priya Gupta , Sunil Kumar

Market Mill is a complex dependence pattern leading to nonlinear correlations and predictability in intraday dynamics of stock prices. The present paper puts together previous efforts to build a dynamical model reflecting the market mill…

统计金融 · 定量金融 2015-05-13 Sergey Zaitsev , Alexander Zaitsev , Andrei Leonidov , Vladimir Trainin

We study decades-long historic distributions of accumulated S\&P500 returns, from daily returns to those over several weeks. The time series of the returns emphasize major upheavals in the markets -- Black Monday, Tech Bubble, Financial…

统计金融 · 定量金融 2025-12-30 Hamed Farahani , R. A. Serota

In recent publications, the authors have considered inverse statistics of the Dow Jones Industrial Averaged (DJIA) [1-3]. Specifically, we argued that the natural candidate for such statistics is the investment horizons distribution. This…

物理与社会 · 物理学 2008-12-02 A. Johansen , I. Simonsen , M. H. Jensen

Fluctuations in stock prices are influenced by a complex interplay of factors that go beyond mere historical data. These factors, themselves influenced by external forces, encompass inter-stock dynamics, broader economic factors, various…

In this paper, we introduce quantile coherency to measure general dependence structures emerging in the joint distribution in the frequency domain and argue that this type of dependence is natural for economic time series but remains…

统计理论 · 数学 2018-12-31 Jozef Baruník , Tobias Kley

All too often measuring statistical dependencies between financial time series is reduced to a linear correlation coefficient. However this may not capture all facets of reality. We study empirical dependencies of daily stock returns by…

统计金融 · 定量金融 2017-09-01 Marcel Wollschläger , Rudi Schäfer

We report evidence of a deep interplay between cross-correlations hierarchical properties and multifractality of New York Stock Exchange daily stock returns. The degree of multifractality displayed by different stocks is found to be…

统计金融 · 定量金融 2014-04-10 Raffaello Morales , T. Di Matteo , Tomaso Aste

We investigate financial market correlations using random matrix theory and principal component analysis. We use random matrix theory to demonstrate that correlation matrices of asset price changes contain structure that is incompatible…

统计金融 · 定量金融 2015-03-17 Daniel J. Fenn , Mason A. Porter , Stacy Williams , Mark McDonald , Neil F. Johnson , Nick S. Jones

We investigate the random walk of prices by developing a simple model relating the properties of the signs and absolute values of individual price changes to the diffusion rate (volatility) of prices at longer time scales. We show that this…

统计金融 · 定量金融 2009-11-13 Gabriele La Spada , J. Doyne Farmer , Fabrizio Lillo

This paper captures irregularities in financial time series data, particularly stock prices, in the presence of COVID-19 shock. We conjectured that jumps and irregularities are embedded in stock data due to the pandemic shock, which brings…

计算工程、金融与科学 · 计算机科学 2023-11-23 Leonard Mushunje , David Allen , Shelton Peiris

We present evidence, that if a large enough set of high resolution stock market data is analyzed, certain analogies with physics -- such as scaling and universality -- fail to capture the full complexity of such data. Despite earlier…

物理与社会 · 物理学 2008-12-02 Janos Kertesz , Zoltan Eisler

We investigated financial market data to determine which factors affect information flow between stocks. Two factors, the time dependency and the degree of efficiency, were considered in the analysis of Korean, the Japanese, the Taiwanese,…

统计金融 · 定量金融 2009-11-13 Cheoljun Eom , Woo-Sung Jung , Sunghoon Choi , Gabjin Oh , Seunghwan Kim

Financial markets are highly correlated systems that reveal both the inter-market dependencies and the correlations among their different components. Standard analyzing techniques include correlation coefficients for pairs of signals and…

物理与社会 · 物理学 2008-12-02 J. Kwapien , S. Drozdz , A. Z. Gorski , P. Oswiecimka