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Lära Challenge: Analyze Asset Correlations | Financial Data Analysis with Python
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bookChallenge: Analyze Asset Correlations

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You are given a pandas DataFrame called returns that contains daily returns for five different stocks: AAPL, MSFT, GOOG, AMZN, and TSLA.

Complete the following steps:

  • Calculate the correlation matrix for the DataFrame of returns and store it in a variable called corr_matrix.
  • Visualize the correlation matrix using a seaborn heatmap. Make sure the heatmap has a title.
  • Identify the pair of stocks with the highest positive correlation (excluding self-correlation), and the pair with the lowest (most negative) correlation.
  • Print the names of these pairs in the following format:
    • Highest correlation: STOCK1 and STOCK2
    • Lowest correlation: STOCK3 and STOCK4

Replace STOCK1, STOCK2, etc. with the actual stock names from the DataFrame.

Use only the libraries provided in the starter code. Do not fetch any data online or use additional datasets.

Lösning

Var allt tydligt?

Hur kan vi förbättra det?

Tack för dina kommentarer!

Avsnitt 1. Kapitel 7
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bookChallenge: Analyze Asset Correlations

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Uppgift

Swipe to start coding

You are given a pandas DataFrame called returns that contains daily returns for five different stocks: AAPL, MSFT, GOOG, AMZN, and TSLA.

Complete the following steps:

  • Calculate the correlation matrix for the DataFrame of returns and store it in a variable called corr_matrix.
  • Visualize the correlation matrix using a seaborn heatmap. Make sure the heatmap has a title.
  • Identify the pair of stocks with the highest positive correlation (excluding self-correlation), and the pair with the lowest (most negative) correlation.
  • Print the names of these pairs in the following format:
    • Highest correlation: STOCK1 and STOCK2
    • Lowest correlation: STOCK3 and STOCK4

Replace STOCK1, STOCK2, etc. with the actual stock names from the DataFrame.

Use only the libraries provided in the starter code. Do not fetch any data online or use additional datasets.

Lösning

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Var allt tydligt?

Hur kan vi förbättra det?

Tack för dina kommentarer!

Avsnitt 1. Kapitel 7
single

single

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