Are mean reverting markets upon us? Looking in retrospect it is much easier to determine the current market environment and ultimate trend strength than when looking at it when the moment is upon analysts. Take the U.S. dollar’s recent downtrend. Some thought the forestalling of the extraction of quantitative stimulus would lead to a trend reversal. Not so, Credit Suisse analysis indicates. Mean reverting markets are alive and all over as the U.S. Federal Reserve is set to begin yet another delicate operation. PowerPoint slides from an upcoming Asian road show reviewed by ValueWalk indicate the bank thinks the U.S….
On This Page
- U.S. dollar trend is likely to influence correlative factors driving market moves going forward
- Mean reverting markets: Algorithms typically identify market patterns and act, they are not proactive in that they create markets -- unless they are used for manipulation
- Mean reverting markets: Crude oil might bump up against resistance, but a trading range is intact with likely floor set
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