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  • cawsby [he/him]
    ·
    3 years ago

    Stock markets are run by algos nowadays. There is no human behind the vast majority of trades in the market.

    Some algos are proactive and competitive like high frequency trading but most of them are reactive like Boomer retirement accounts which autosell/autobuy to balance bond or equities in a portfolio. Both exuberance and doubt in the markets can become quickly magnified as massive pension/retiree accounts shuffle in and out of varying allocations.

    • penguin_von_doom [she/her]
      ·
      3 years ago

      Honestly, as someone who works with machine learning and data science, the thought that so much of the economy is run by algorithms fills me with absolute dread.