Rats are better futures traders than humans

Marcovici has devised a method of translating the movement of European futures markets into music, using pitch.

These "songs" were played to rats under laboratory conditions. The rats had to predict which way the music, i.e. the market, would go, hitting a green button for "long" and a red button for "short".

Depending on the accuracy of their answers, the rats would either be rewarded with food, or punished with a small electric shock.

As the experiment progressed, a number of the rats began to make eerily accurate predictions about the movement of the money markets. When put into unheard of (excuse the pun) scenarios, their responses were likened by Marcovici to "those of the world’s best fund managers”.

“Unlike their human counterparts, they are not likely to be distracted by news or economy fundamentals, their own personal or their bank’s financial status,” he continues.

As for the final phase of the experiment, Marcovici plans to use these rats to follow the real-time market, staking his own money on their predictions.

Real Business will keep you updated.

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