Besides catching hints of asset bubbles and sensing early signs of market disruptions by analysing patterns from historical data, macroeconomic numbers, and market behaviour, AI and ML models may come handy in ‘stress testing’ of banks. It could help regulators to be better positioned in ensuring that banks have enough capital to absorb shocks from slowing economy and plunging markets.
Asian stocks, US futures rise on Japan trade deal
Asian shares experienced a boost following President Trump’s announcement of a trade deal with Japan, easing concerns about the tariff war. The agreement involves Japan