In this collection, the interdependence of markets to one another is examined. As with all ‘focus’ collections, there are number of exhibits highlighted the comparison across markets, followed by a detailed illustration of each market alone. A unique feature of Agathos’ method of doing this is to show congruence of any one market with international peers free from contagion, meaning the market under review is not itself a component of the independent variable. Instead, we use a ‘specific M9’ composite, which is calculated from our universe of markets, excluding the one that is the object of the investigation. Please not, that this in contrast to the regression data shown as part of the International Summary Sheets which uses ‘M10’ as independent variable in regressions. In order to track how global market interdependent shifts, Agathos calculates a global congruence indicator, found in the first section of these collections (and also in the International Comparison collections). Here, all possible pairings of markets are investigated, and that data too is used to gauge how much markets affect each other.
In the detailed section of Regression Analyses, the regression formula is used to calculate scenario results in order to illustrate how the interplay of ‘Alpha’ and ‘Beta’ actually works. Obviously, these ‘what-if’ calculations are entirely based on past patterns as reflected in the current sample of 100 increments. Just as important to remember is that the value for R-squared is the paramount metric to be considered.