PREDICTING ECONOMIC CONDITIONS

• US 20150134410A1
• Filed: 11/12/2013
• Published: 05/14/2015
• Est. Priority Date: 11/12/2013
• Status: Abandoned Application

• Current Assignee: Bank of America Corp.
• Original Assignee: Bank of America Corp.
• Inventors: Bendel, Timothy J., Krein, Mark V., Joffe, David N., Setiawan, Sandi, Nobili, William Anthony
• Application Number:
  US14/078,163
• Publication Number:
  US 20150134410A1
• Time in Patent Office: Days
• US Class Current: 705/7.31
• CPC Class Codes: G06Q 30/0201 Market modelling; Market analysis; Collecting market data

Abstract

Computer-implemented methods for identifying or assessing any type of risk and/or opportunity that may arise can include either, alone or in combination, band pass filtering, principal component analysis, random matrix theory analysis, synchronization analysis, and early-warning detection. Each technique can also be viewed as a process that takes a set of inputs and converts it to a set of outputs. These outputs can be used as inputs for a subsequent process or the outputs may be directly actionable for formulating certain economic predictions to make certain decisions.

Claims

1. An apparatus comprising:

a processor; and

memory storing computer readable instructions that, when executed by the processor, cause the apparatus to;

receive an input of economic data including a plurality of economic indicators;

apply a band pass filter to the economic data;

extract a cycle signal from the band pass filter;

determine a synchronization event of the plurality of economic indicators; and

output an economic prediction based on the synchronization event.

2. The apparatus of claim 1, wherein the economic prediction is either positive or negative.

3. The apparatus of claim 1 wherein the band pass filter is applied to the plurality of economic indicators simultaneously.

4. The apparatus of claim 1 wherein after applying a band pass filter to the economic data the absolute value of the filtered data is calculated.

5. The apparatus of claim 4 wherein the absolute valve of the filtered data is reviewed to determine correlations and concentration measures across the plurality of economic indicators for outputting economic trends based on the correlations and concentration measures.

6. The apparatus of claim 1 wherein the input of economic data is transformed to a predetermined frequency domain.

7. The apparatus of claim 1 wherein the input of economic data includes both microeconomic data and macroeconomic data.

8. A computer-implemented method comprising:

receiving an input of economic data including a plurality of macroeconomic and microeconomic indicators;

applying a band pass filter to the economic data;

extracting a cycle signal from the band pass filter;

determining a synchronization event of the plurality of macroeconomic and microeconomic indicators; and

outputting an economic prediction based on the synchronization event.

9. The method of claim 8 wherein the band pass filter is applied to the plurality of macroeconomic and microeconomic indicators simultaneously.

10. The method of claim 8 wherein after applying a band pass filter to the economic data the absolute value of the filtered economic data is calculated.

11. The method of claim 8 wherein the absolute valve is reviewed to determine correlations and concentration measures across the plurality of economic indicators for outputting economic trends based on the correlations and concentration measures.

12. The method of claim 8 wherein principal component analysis is applied to the economic data to determine a market driver.

13. One or more non-transitory computer-readable media having instructions stored thereon that, when executed, cause at least one computing device to:

receiving an input of economic data including a plurality of economic indicators;

applying a band pass filter to the economic data;

extracting a cycle signal from the band pass filter;

determining a synchronization event of the economic data; and

outputting an economic prediction based on the synchronization event.

14. The one or more non-transitory computer-readable media of claim 13, wherein the band pass filter is applied to the plurality of macroeconomic and microeconomic indicators simultaneously.

15. The one or more non-transitory computer-readable media of claim 13, wherein after applying a band pass filter to the economic data the absolute value of the filtered data is calculated.

16. The one or more non-transitory computer-readable media of claim 15, wherein the absolute valve of the filtered data is reviewed to determine correlations and concentration measures across the plurality of economic indicators for outputting economic trends based on the correlations and concentration measures.

17. The one or more non-transitory computer-readable media of claim 13, wherein principal component analysis is applied to the economic data to determine a market driver.

18. The one or more non-transitory computer-readable media of claim 13, wherein the input of economic data is transformed to a proper frequency domain.

19. The one or more non-transitory computer-readable media of claim 13, wherein the input of economic data includes both microeconomic data and macroeconomic data.

20. The one or more non-transitory computer-readable media of claim 16, wherein a correlation value is calculated and a high correlation value indicates a highly positive or negative state in the economy.