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Yes, but you're missing their ability to interpolate across that dataset at retrieval time, which is what makes them extremely useful. Also, people are willing
by lexandstuff 1y ago
Yes, but you're missing their ability to interpolate across that dataset at retrieval time, which is what makes them extremely useful. Also, people are willing to invest a lot of money to keep building those datasets, until nearly everything of economic value is in there.
- beeflet 1y agonot everything of economic value is data retrieval
- bluefirebrand 1y agoMost economic value is not data retrieval
- HaZeust 1y agoThe stock market is the root for the majority of all the world's economic value, and has almost-exclusively been data retrieval since 2001.
- andsoitis 1y agoCome on. The stock market is not just data retrieval. The statement doesn’t even make sense.
- HaZeust 1y agoIt makes perfect sense, and I meant what I said. 60% of all US equity volume is pure high-frequency trading, and ETFs add roughly another 20% that’s literally just bots responding to market activity and bearish-bullish sentiment analysis on public(?) press releases. 2/3 of trading funds also rely on external data to price in decisions, and I think it was around 90% in 2021 use trading algorithms as their determining factor for their high-frequency trade strategies. At its core, the movements that make up the market really IS data retrieval.
- raspasov 1y agoSure, the market, but HFT is relatively tiny as a market and the profit it brings. Not to mention, it's essentially a zero-sum game. Brought to you by your favorite Google LLM search result: "The global high-frequency trading (HFT) market was valued at USD 10.36 billion in 2024 and is projected to reach USD 16.03 billion by 2030" (unverified by a human, use at your own risk).
- HaZeust 1y ago>"The global high-frequency trading (HFT) market was valued at USD 10.36 billion in 2024 and is projected to reach USD 16.03 billion by 2030" > > (unverified by a human, use at your own risk). Honorable for mentioning the lack of verification; doing so would have dissolved the AI's statement, but jury's out on how much EXACTLY: Per https://www.sciencedirect.com/science/article/abs/pii/S0378426615001752 https://www.sciencedirect.com/science/article/abs/pii/S03784...: "While estimates vary due to the difficulty in ascertaining whether each trade is an HFT, recent estimates suggest HFT accounts for 50–70% of equity trades and around 50% of the futures market in the U.S., 40% in Canada, and 35% in London (Zhang, 2010, Grant, 2011, O’Reilly, 2012, Easley et al., 2012, Scholtus et al., 2014)" In my original reply, I used the literal median of that spectrum @ 60% Jane Street - who has recently found themselves in hot water from the India ban - disputes that AI summary ALONE. Per https://www.globaltrading.net/jane-street-took-10-of-of-us-equity-market-in-2024/ https://www.globaltrading.net/jane-street-took-10-of-of-us-e... , Jane Street booked 20.5B in trading revenue, primarily though HFT's, just in 2024. Brought to you by someone who takes these market movements too seriously for their own good.
- bdelmas 1y agoRevenue is not profit
- rcxdude 1y ago20 billion is a tiny fraction of the value represented in the stock exchange (and a tiny fraction of the profits made on it). HFT by its nature makes for a lot of volume but that's just a lot of shuffling of things around to peel a tiny fraction of value off the top, it's far from driving the market and the market isn't what makes the value in the first place.
- deleted 1y ago[deleted]
- rcxdude 1y agoThe stock market is not the root of the value, it's where the value (and plans for generating more) is put to a popularity contest.
- HaZeust 1y agoDetermining value of a thing IS how well it does in a popularity contest. That's all economics is. If your apples are fundamentally less sought after - and popular - than my potatoes, your apples are cheaper than my potatoes.
- prairieroadent 1y agoe.g. farming
- whiteboardr 1y agoBecause hypetrain.