Abstract: Citation: Diversification is the cornerstone of risk-adjusted portfolio construction. Yet, despite being a well-established principle in finance, diversification has been overlooked in pairs trading strategies, which often focus solely on selecting the most cointegrated pairs in isolation from the broader market structure and without accounting for their combined behavior within a portfolio. Here, weContinue reading ““Too Connected to Fail”: Network Portfolio Construction”
Category Archives: Uncategorized
Credit Market Stress and Cascading Failures
Market chatter seems to be rising reflecting growing fears credit market stress is ascending as Treasury yields fall and other economic warning signs are lighting up. Manufacturing data and labor markets are retreating and the Fed is shutting down its QT policy ahead of possible rate cuts. A bank liquidity crisis occurs when a bankContinue reading “Credit Market Stress and Cascading Failures”
Meet the New Boss — Same as the Old Boss?
Mark goes there: https://meaninginhistory.substack.com/p/ok-ill-go-there This morning I wrote about the possible significance of an American pope. Of course, strictly speaking, Bergoglio was the first American pope. Strictly speaking—but perhaps metaphorically speaking as well. What seems beyond doubt is that he was the first Globalist pope. Commenter Doug Hoover wrote today about events from 2013 which many mayContinue reading “Meet the New Boss — Same as the Old Boss?”
Starting a Trade War? Or Ending One?
If you had a bad week in markets since “Liberation Day”, here’s your “Daisy”. Stephen Miran. American economist and current chair of the Council of Economic Advisers since March 2025. (Sorry Mark, you’re STILL a “bridesmaid” and a hilarious talking head for a very sketchy operation — LOL) Back to Stephen – Senior Strategist atContinue reading “Starting a Trade War? Or Ending One?”
Days of Thunder
Alex Krainer: https://open.substack.com/pub/alexkrainer/p/next-week-start-the-days-of-thunder Last night I had the privilege of being included in a Zoom call with Steve Bannon, former investment banker and media executive, host of the “War Room” show and chief political strategist during the first seven months of Donald Trump‘s first term in office. Much of what Bannon presented wasn’t surprising, but what seemedContinue reading “Days of Thunder”
Did Jeffrey Sachs Get to Trump?
Mark Wauck asks the obvious question: https://substack.com/home/post/p-154498390 ********** Late yesterday afternoon Judge Nap featured a session with Jeffrey Sachs that held out tantalizing possibilities for those of us—and who isn’t?—who are trying to come to grips with what Trump is up to these days with his many and provocative public statements. This followed mere hoursContinue reading “Did Jeffrey Sachs Get to Trump?”
Inconvenient Truths of Coupled Solar-Atmospheric Dynamics
Citation: Helge F. Goessling et al., Recent global temperature surge intensified by record-low planetary albedo. Science 0, eadq7280DOI:10.1126/science.adq7280 Abstract: In 2023, the global mean temperature soared to almost 1.5K above the pre-industrial level, surpassing the previous record by about 0.17K. Previous best-guess estimates of known drivers including anthropogenic warming and the El Niño onset fall shortContinue reading “Inconvenient Truths of Coupled Solar-Atmospheric Dynamics”
Russia wins – Europe loses – USA lets Europe down
Outstanding piece by Peter Hanseler To understand Russia’s current strength, attitude and strategy, one must understand the developments since 1990. Only then will one understand why President Putin is doing what he is doing and why he will be successful. Analysis. Peter Hänseler This article was also published on ZeroHedge: https://voicefromrussia.ch/russland-gewinnt-europa-verliert-usa-lasst-europa-hangen/ Development since 1990 When theContinue reading “Russia wins – Europe loses – USA lets Europe down”
On Realism
I met John Mearsheimer many years ago in a place we both attended and we spoke casually — John a few years ahead of me in the early study of the warrior art. I doubt he remembers me. But John said some things to me then that galvanized me to change my direction. And theContinue reading “On Realism”
Failed Hit on Trump – Every Intell Chief Refuses to Testify
Source: GreatGame Intelligence: https://greatgameindia.com/not-just-cheatle-every-american-intelligence-chief-refused-to-testify-in-trump-assassination-inquiry/ In a dramatic twist to the investigation into the attempted assassination of former President Donald Trump, the heads of the Secret Service, FBI, and Department of Homeland Security have mysteriously refused to testify at a crucial Congressional hearing. While the hearing proceeded with other witnesses, the absence of these key officialsContinue reading “Failed Hit on Trump – Every Intell Chief Refuses to Testify”
Econophysics2020 