European Market Correlation with S&P

W

waggie945

For those of you that are interested, I have decided to post a very valuable weblink which contains comparative correlations for all sorts of world equity markets with that of the S&P.

Our dear friend Trend Fader made a highly baseless claim that there was an "80% correlation in most cases" between the European markets like the DAX, CAC, and FTSE with that of the S&P.

This is completely wrong, and the following link provides 20 years of quarterly data based upon daily returns. A very valuable link, in my opinion:

http://www.econstats.com/eqty/eq_eq36.htm
 
Quote from waggie945:

For those of you that are interested, I have decided to post a very valuable weblink which contains comparative correlations for all sorts of world equity markets with that of the S&P.

Our dear friend Trend Fader made a highly baseless claim that there was an "80% correlation in most cases" between the European markets like the DAX, CAC, and FTSE with that of the S&P.

This is completely wrong, and the following link provides 20 years of quarterly data based upon daily returns. A very valuable link, in my opinion:

http://www.econstats.com/eqty/eq_eq36.htm
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Golly gee, waggie. Every thread you try to start has one response and about 100 views. While the few threads I start all have massive viewership. Does that tell you something?

JS contacted me and asked why trendfader is your new favorite target? JS wanted to know if you are picking on trendfader b/c he is an easier target, or b/c you just outright got stomped all over by JS. Reliable sources tell me you even tried to get JS banned. How'd that go?
 
First of all, "BlueHorseShoe" deleted his own thread today regarding European Market Correlation in which "Trend Fader" had stated that there is an "80% correlation in most cases" between the U.S. markets and those of Europe. This is simply not the case, and not backed-up by the 20 years of statistics that I presented in the link above. I found the "link" very helpful, and thus posted it earlier today.

As for your "buddy" JS I guess you haven't taken enough lithium or haldol today, eh James?

And yes, in a telephone conversation that I had with Baron awhile back, he indicated to me that he had banned "JS" and a few other of his insecure and absurd aliases.

Guess he didn't get all of them, eh Dr???

:D
 
Quote from waggie945:

And yes, in a telephone conversation that I had with Baron awhile back, he indicated to me that he had banned "JS" and a few other of his insecure and absurd aliases.
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Did the conversation go something like this, "waaaah, waaah, I can't take JS, please boot him from this anonymous message board. No one looks at my market nonsense, and he gets all the attention. Waaaaaahhh!!"
 
Quote from waggie945:

No.
It went more like this . . .

"I'll be happy to get rid of his ID. Most of his posts are worthless anyway."
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Oh. so you just happened to be talking to Baron, because the 2 of you are such close friends? Come on, you cried to him because JS was a much more popular, and entertaining person, and it was killing you.
 
No, I couldn't careless what JS says or thinks because we all know that he doesn't even trade, nor does he exist. Riskarb already proved that!

No, I was on the phone with Baron about another illustrious member of ET a the time.

Funny how you have made such an effort to defend James Crock.
Sounds to me, like James is now Dr. Trader!

:D
 
Quote from waggie945:

Funny how you have made such an effort to defend James Crock. Sounds to me, like James is now Dr. Trader!
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But you just bragged how you were on the phone with Baron and got JS banned. How could I possibly be him, you moron!

Quote from waggie945:

No, I couldn't careless what JS says or thinks because we all know that he doesn't even trade, nor does he exist. Riskarb already proved that!

More...

What an idiot! You just said you were on the phone with Baron and got him banned. That sounds like someone who "could careless". And if he doesn't exist, why were you on the phone with Baron complaining and crying about him?? How pathetic!
 
From the look of the results they are simply calculating the correlation co-efficients in daily series without accounting for the time-zone difference (ie FTSE at london close vs SP at US close)

I get a correlation of 80% for FTSE-SP since 2002 compared to their 40%. I used intraday data to get the SP price at the FTSE close.

The eurostoxx-SP correlation is higher at 85%.

A good example where you should do your own research and don't believe what you read.
 
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