Correlation coefficients can mean a positive, negative, or no relationship between two variables. Use correlation coefficients to help pick securities for your portfolio.

In the above example, Apple and the S&P 500 have a correlation coefficient of 0.73817, which indicates a strong relationship between the two over 90 days of data.

Correlation coefficient measures the strength and direction of a linear relationship between two variables. It ranges from -1 to 1, where 1 indicates a perfect positive relationship and -1 ...

PROC CORR computes separate coefficients using raw and standardized values (scaling the variables to a unit variance of 1). For each VAR statement variable, PROC CORR computes the correlation between ...

Thus, if we calculate the correlation coefficient including this outlier, it would suggest a weaker correlation between the stock and the S&P 500 than actually exists on most trading days.

Correlation coefficient. Yahoo Finance Glossary. March 26, 2012 at 9:08 AM UTC. A statistical measure of the linear relationship between two variables.

The current 200-day correlation between stocks and bonds is at 0.87, strongly positive. But the correlation coefficient seems to be rolling over, moving lower in the past 15 trading sessions ...

From October 2022 to October 2023, we can see the correlation coefficient was +0.34, which signals a positive correlation, as expected. However, it is a weak correlation, due to JPM’s ...

A correlation coefficient is a number used to describe the strength of a relationship between two variables. These numbers range from -1 to +1, with zero describing no correlation at all.