Lumifer comments on Stupid Questions September 2015 - Less Wrong

4 Post author: polymathwannabe 02 September 2015 06:26PM

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Comment author: Lumifer 08 September 2015 12:49:57AM 3 points [-]

The currency rates are not a random walk (it's easy to verify that emprirically) either before or after adjusting for the interest rate parity.

What makes currency markets different is that they have huge powerful players -- central banks -- which are not driven by the profit motive.