Almost every day you can find in media commentary that XYZ is causing stocks to fall (or rise). Such definitive statements are common—but what’s almost always missing is statistical proof. And if you ...

Correlation doesn't imply causation. You've probably heard that before. It's a true statement that's important in statistical analysis—if more tall people own cats, that doesn't mean that cats cause ...

In the first case, there is a strong upward-sloping relationship between X and Y; in the second case, no apparent relationship; in the third case, a strong downward-sloping relationship. Note the ...

In the first quarter of 2013, the stock of big data has experienced sudden declines followed by sporadic bouts of enthusiasm. The volatility—a new big data “V”—continues this month and Ted Cuzzillo ...

The warmer the season, the higher the crime rate'—this is a 'certain fact' found even in statistics textbooks. In fact, it is ...

What Is the Correlation Coefficient? The correlation coefficient is a metric that measures the strength and direction of a relationship between two securities or variables, such as a stock and a ...

Cross-correlation is a measurement that tracks the movements over time of two variables relative to each other.