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Evidence Base · Market State Detector

The Federal Reserve
validated the signal.

Mindforge operationalized it.

70 yrs
Data behind the Fed paper
100.00%
Systemic-stress precision · 9/9
2012–2024
MSD walk-forward window
07:30 ET
Daily delivery cadence

Atlanta Fed Working Paper 2003-5b documented statistically significant negative returns following elevated geomagnetic activity. Mindforge built a multi-factor regime classifier that incorporates that signal alongside other public environmental and market structure inputs, validated walk-forward against 2012–2024.

// Provenance
1932
NOAA geomagnetic record begins (Kp / Ap)
1990
CBOE VIX series begins · Mindforge platform validation extends to this date
2003
Federal Reserve Bank of Atlanta publishes WP 2003-5b
2025
Mindforge begins development of the Market State Detector
2012–2024
MSD walk-forward backtest period
2026
Daily classifications delivered 07:30 ET
// The Source
Federal Reserve Bank of Atlanta · 2003

Playing the Field: Geomagnetic Storms and the Stock Market

Krivelyova, A., & Robotti, C. — Working Paper 2003-5b

High geomagnetic activity has a negative, statistically significant effect on stock returns across U.S. indices.

70 years of data · U.S. equity returns · Statistically significant after standard controls

Access publication
// Supporting Literature
Kay, R.W. (1994). Geomagnetic Storms: Association with Incidence of Depression. British Journal of Psychiatry, 164, 403–409.
Wang, C.X., et al. (2019). Transduction of the Geomagnetic Field as Evidenced from Alpha-Band Activity. eNeuro.
Schwarz, N., & Clore, G.L. (1983). Mood, Misattribution, and Judgments of Well-Being. Journal of Personality and Social Psychology, 45, 513–523.
// Public Inputs

Primary public inputs

The four below are the primary public feeds the Market State Detector reads. Each is independently verifiable, sourced from the institution that maintains it, and has decades of continuous history.

NOAA Kp / Ap Indices
Geomagnetic activity
NOAA Space Weather Prediction Center
Kp every 3 hours · Ap daily
1932 – present
F10.7 cm Solar Flux
Solar UV/EUV proxy
NOAA / Solar observatories
Daily
1947 – present
S&P 500 Index (SPX)
Market structure
S&P Global / public market feeds
Intraday + daily close
1957 – present
CBOE Volatility Index (VIX)
Implied volatility
Cboe Global Markets
Intraday + daily close
1990 – present

These public feeds are combined with proprietary derived environmental signals inside the classifier. The classification logic itself is rules-based and deterministic — same inputs, same output, every run.

// FAQ

Common questions

Is there academic research on geomagnetic storms and stock markets?

Yes. In 2003, researchers at the Federal Reserve Bank of Atlanta published Working Paper 2003-5b, 'Playing the Field: Geomagnetic Storms and the Stock Market.' Using 70 years of data, they found that unusually high geomagnetic activity has a statistically significant negative effect on the following week's U.S. stock returns. The paper is publicly available through the Federal Reserve archives.

What mechanism do researchers propose for the correlation?

The Federal Reserve researchers drew on psychology literature showing that geomagnetic storms correlate with mood disturbances, hypothesizing that affected individuals may misattribute environmental discomfort to economic conditions. The hypothesis builds on earlier peer-reviewed work — Kay (1994, British Journal of Psychiatry) on geomagnetic activity and psychiatric admissions, and Schwarz & Clore (1983) on mood misattribution in judgment.

How does Mindforge use this research?

Mindforge incorporates publicly available NOAA and NASA space weather data into a multi-factor regime classification system alongside market structure inputs. The system classifies current market states (Calm, Turning, Stress, Volatility Spike, Systemic Stress) using rules-based logic. Mindforge does not predict markets — it classifies current conditions. Walk-forward backtested precision is published in the methodology documentation.

See what the classifier is calling today.

The Market State Detector delivers a classification of the current market regime by 07:30 ET every U.S. trading day.

Research Notice: Correlation does not prove causation. Academic studies document statistical patterns only. Mindforge classification systems are for informational research purposes — not investment advice, financial advice, or trading recommendations. Walk-forward backtested performance (2012–2024) does not guarantee future results. Consult qualified licensed financial professionals before making investment decisions.

Research use only. Not investment advice. Past performance ≠ future results. Mindforge is not a registered investment adviser. Full terms · Methods