Inflation: a new index?

Discussion in 'Technical Analysis' started by seleukos, Feb 24, 2006.

  1. seleukos


    Here there is a chart starting from 19920902 where the yellow is DowJones Industrials and the green one is our inflation index, HCBO Seleukos Inflation Index . For this HCBO, we think that you will agree the formula, that is:
    daily HCBO = CRB x US30 /100,

    where CRB is the Knight Ridder well known CRB COMMODITIES index and US30 are the Usa rates 20/30 years benchmark.

    From 19980527 the two graphs are perfectly in sync but... before? While Dow was always bullish, our index was relatively erratic.

    Nevertheless, this Seleukos Inflation Index can be useful in some circumstances.

    We can discuss about the first and second part.

    One help can be this: the Chi square analysis says that Dow before 1997 was another thing than after: nevertheless and still, the inflation index was erratic in the first part of the chart.