Crude and OSX Relationship
Hi George,
I dug this old post of mine up to get the link for the study to show you, but the link is no longer there. Fortunately I quoted from it in the post, so it's not totally lost.
(Teaches me to Always cut and paste the whole thing and not depend on the links to stay up.)
Here is the post:
<<<<<<<<<<<<<<<<<<https://www.siliconinvestor.com/readmsg.aspx?msgid=6307826
To: +SliderOnTheBlack (31471 )
From: +diana g Thursday, Nov 5 1998 6:57PM ET
Reply # of 42583
Crude+Sector stock price -Statistical Correlation Analysis says: 'No Correlation'
Thanks for posting this, Slider!!!
I'm going to point to it again, just because I want to.<G>
messages.yahoo.com.
"... A weekly, statistical correlation analysis between the commodity and the industry group from 1983 results in a correlation of -.13: essentially no correlation, which is quantifiable support of the anecdotal analysis.
3.The industry group appears to be more influenced by the overall equity market environment rather than the price of an underlying commodity. Examples are 1987, 1990, and 1998.
The Oil Service group may be influenced by many factors, but the underlying price of the commodity does not seem to be of critical, if of any, importance. ..."
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Crude Price and OSX are influenced by some common factors, and often move together. This doesn't mean they're 'Coupled' together. They are not.
Having incorrect notions of cause/effect and how factors influence each other leads to error. Like Granny used to say -- "It ain't so much the things you don't know, it's the things you know for sure That Ain't So that'll sneak up and whack you."
regards,
diana >>>>>>>>>>>>>>>
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I don't guess there's really any way to prove this one way or the other beyond a study like that one. Probably we'll just have to agree to disagree while we all make money <G>
regards,
diana
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