Ben Hunt, creator of Epsilon Theory, discusses market narratives and geopolitical risks with host Ted Seides, warning that markets are prematurely dismissing conflict in the Middle East.
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“There is a hot war between those two countries. It is in its phony war stage. I don't think it remains in a phony war stage, or I think the risk is that it doesn't”
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AssertionNot checkable as stated
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“Nothing's changed in the math. It's the same algorithms, it's the same network math that I was using 35 years ago. What has changed is big data, so the access to all this information, all this text information.”
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Insight
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“The fact is, epsilon is just what's not in your econometric formula. It's not error. It's what you don't know. Yes, there is error and stochastic stuff in there, right? But there's also human interaction. Strategic interaction. There's also how humans systemat…”
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