By Amanda Billner / BloombergRobots are on their way to cracking one of the world’s toughest codes: central banker speak. Schnidman, who wrote his doctorate at Harvard University on how central bank communications affect financial markets before starting Prattle in 2014, charges US$60,000 a year for three to five users to access analysis. It then draws on all prior language from that central bank to determine the likely market impact. Likewise, if investors expect the central bank to adjust policy to control inflation, markets would tighten or loosen by themselves, and the bank would not have to act. However, robots are not yet that smart, said Dirk Schumacher, a Frankfurt-based economist at French lender Natixis SA, which this month started publishing an automated sentiment index of European Central Bank meeting statements.

Source: Taipei Times June 29, 2019 15:56 UTC