Information Feedback in Temporal Networks as a Predictor of Market Crashes

Figure 4

Estimated dependency network of 47 long-established constituents of the S&P 500 index, estimated using daily stock returns, corresponding to distinct periods in time: a period of stable market growth from 1994 to 1996 (a) and the Dot-com bubble and crash from 1999 to 2001 (b). Arrows on the lines denote the direction, and thickness represents the amount of the estimated causality between stocks.

(a)

(b)