Algorithmic Trading Strategy Development and Optimisation

The report presents with the development and optimisation of an enhanced algorithmic trading strategy through the use of historical S&P 500 market data and earnings call sentiment analysis. The proposed strategy integrates various technical indicators such as moving averages, momentum, volatility, and FinBERT-based sentiment analysis to improve overall trades being taken. The results show that the enhanced strategy significantly outperforms the baseline model in terms of total return, Sharpe ratio, and drawdown amongst other factors. The findings helped demonstrate the relevance and effectiveness of combining technical indicators, sentiment analysis, and computational optimisation in algorithmic trading systems.

MER-Bench: A Comprehensive Benchmark for Multimodal Meme Reappraisal

Memes represent a tightly coupled, multimodal form of social expression, in which visual context and overlaid text jointly convey nuanced affect and commentary. Inspired by cognitive reappraisal in psychology, we introduce Meme Reappraisal, a novel multimodal generation task that aims to transform negatively framed memes into constructive ones while preserving their underlying scenario, entities, and structural layout. Unlike prior works on meme understanding or generation, Meme Reappraisal requires emotion-controllable, structure-preserving multimodal transformation under multiple semantic and stylistic constraints. To support this task, we construct MER-Bench, a benchmark of real-world memes with fine-grained multimodal annotations, including source and target emotions, positively rewritten meme text, visual editing specifications, and taxonomy labels covering visual type, sentiment polarity, and layout structure. We further propose a structured evaluation framework based on a multimodal large language model (MLLM)-as-a-Judge paradigm, decomposing performance into modality-level generation quality, affect controllability, structural fidelity, and global affective alignment. Extensive experiments across representative image-editing and multimodal-generation systems reveal substantial gaps in satisfying the constraints of structural preservation, semantic consistency, and affective transformation. We believe MER-Bench establishes a foundation for research on controllable meme editing and emotion-aware multimodal generation. Our code is available at: https://github.com/one-seven17/MER-Bench.

Face-Guided Sentiment Boundary Enhancement for Weakly-Supervised Temporal Sentiment Localization

Point-level weakly-supervised temporal sentiment localization (P-WTSL) aims to detect sentiment-relevant segments in untrimmed multimodal videos using timestamp sentiment annotations, which greatly reduces the costly frame-level labeling. To further tackle the challenges of imprecise sentiment boundaries in P-WTSL, we propose the Face-guided Sentiment Boundary Enhancement Network (\textbf{FSENet}), a unified framework that leverages fine-grained facial features to guide sentiment localization. Specifically, our approach \textit{first} introduces the Face-guided Sentiment Discovery (FSD) module, which integrates facial features into multimodal interaction via dual-branch modeling for effective sentiment stimuli clues; We \textit{then} propose the Point-aware Sentiment Semantics Contrast (PSSC) strategy to discriminate sentiment semantics of candidate points (frame-level) near annotation points via contrastive learning, thereby enhancing the model's ability to recognize sentiment boundaries. At \textit{last}, we design the Boundary-aware Sentiment Pseudo-label Generation (BSPG) approach to convert sparse point annotations into temporally smooth supervisory pseudo-labels. Extensive experiments and visualizations on the benchmark demonstrate the effectiveness of our framework, achieving state-of-the-art performance under full supervision, video-level, and point-level weak supervision, thereby showcasing the strong generalization ability of our FSENet across different annotation settings.

Generate Then Correct: Single Shot Global Correction for Aspect Sentiment Quad Prediction

Aspect-based sentiment analysis (ABSA) extracts aspect-level sentiment signals from user-generated text, supports product analytics, experience monitoring, and public-opinion tracking, and is central to fine-grained opinion mining. A key challenge in ABSA is aspect sentiment quad prediction (ASQP), which requires identifying four elements: the aspect term, the aspect category, the opinion term, and the sentiment polarity. However, existing studies usually linearize the unordered quad set into a fixed-order template and decode it left-to-right. With teacher forcing training, the resulting training-inference mismatch (exposure bias) lets early prefix errors propagate to later elements. The linearization order determines which elements appear earlier in the prefix, so this propagation becomes order-sensitive and is hard to repair in a single pass. To address this, we propose a method, Generate-then-Correct (G2C): a generator drafts quads and a corrector performs a single-shot, sequence-level global correction trained on LLM-synthesized drafts with common error patterns. On the Rest15 and Rest16 datasets, G2C outperforms strong baseline models.

As Language Models Scale, Low-order Linear Depth Dynamics Emerge

Large language models are often viewed as high-dimensional nonlinear systems and treated as black boxes. Here, we show that transformer depth dynamics admit accurate low-order linear surrogates within context. Across tasks including toxicity, irony, hate speech and sentiment, a 32-dimensional linear surrogate reproduces the layerwise sensitivity profile of GPT-2-large with near-perfect agreement, capturing how the final output shifts under additive injections at each layer. We then uncover a surprising scaling principle: for a fixed-order linear surrogate, agreement with the full model improves monotonically with model size across the GPT-2 family. This linear surrogate also enables principled multi-layer interventions that require less energy than standard heuristic schedules when applied to the full model. Together, our results reveal that as language models scale, low-order linear depth dynamics emerge within contexts, offering a systems-theoretic foundation for analyzing and controlling them.

Privacy Preserving Topic-wise Sentiment Analysis of the Iran Israel USA Conflict Using Federated Transformer Models

The recent escalation of the Iran Israel USA conflict in 2026 has triggered widespread global discussions across social media platforms. As people increasingly use these platforms for expressing opinions, analyzing public sentiment from these discussions can provide valuable insights into global public perception. This study aims to analyze global public sentiment regarding the Iran Israel USA conflict by mining user-generated comments from YouTube news channels. The work contributes to public opinion analysis by introducing a privacy preserving framework that combines topic wise sentiment analysis with modern deep learning techniques and Federated Learning. To achieve this, approximately 19,000 YouTube comments were collected from major international news channels and preprocessed to remove noise and normalize text. Sentiment labels were initially generated using the VADER sentiment analyzer and later validated through manual inspection to improve reliability. Latent Dirichlet Allocation (LDA) was applied to identify key discussion topics related to the conflict. Several transformer-based models, including BERT, RoBERTa, XLNet, DistilBERT, ModernBERT, and ELECTRA, were fine tuned for sentiment classification. The best-performing model was further integrated into a federated learning environment to enable distributed training by preserving user data privacy. Additionally, Explainable Artificial Intelligence (XAI) techniques using SHAP were applied to interpret model predictions and identify influential words affecting sentiment classification. Experimental results demonstrate that transformer models perform effectively, and among them, ELECTRA achieved the best performance with 91.32% accuracy. The federated learning also maintained strong performance while preserving privacy, achieving 89.59% accuracy in a two client configuration.

The AI Fiction Paradox

AI development has a fiction dependency problem: models are built on massive corpora of modern fiction and desperately need more of it, yet they struggle to generate it. I term this the AI-Fiction Paradox and it is particularly startling because in machine learning, training data typically determines output quality. This paper offers a theoretically precise account of why fiction resists AI generation by identifying three distinct challenges for current architectures. First, fiction depends on what I call narrative causation, a form of plot logic where events must feel both surprising in the moment and retrospectively inevitable. This temporal paradox fundamentally conflicts with the forward-generation logic of transformer architectures. Second, I identify an informational revaluation challenge: fiction systematically violates the computational assumption that informational importance aligns with statistical salience, requiring readers and models alike to retrospectively reweight the significance of narrative details in ways that current attention mechanisms cannot perform. Third, drawing on over seven years of collaborative research on sentiment arcs, I argue that compelling fiction requires multi-scale emotional architecture, the orchestration of sentiment at word, sentence, scene, and arc levels simultaneously. Together, these three challenges explain both why AI companies have risked billion-dollar lawsuits for access to modern fiction and why that fiction remains so difficult to replicate. The analysis also raises urgent questions about what happens when these challenges are overcome. Fiction concentrates uniquely powerful cognitive and emotional patterns for modeling human behavior, and mastery of these patterns by AI systems would represent not just a creative achievement but a potent vehicle for human manipulation at scale.

BTZSC: A Benchmark for Zero-Shot Text Classification Across Cross-Encoders, Embedding Models, Rerankers and LLMs

Zero-shot text classification (ZSC) offers the promise of eliminating costly task-specific annotation by matching texts directly to human-readable label descriptions. While early approaches have predominantly relied on cross-encoder models fine-tuned for natural language inference (NLI), recent advances in text-embedding models, rerankers, and instruction-tuned large language models (LLMs) have challenged the dominance of NLI-based architectures. Yet, systematically comparing these diverse approaches remains difficult. Existing evaluations, such as MTEB, often incorporate labeled examples through supervised probes or fine-tuning, leaving genuine zero-shot capabilities underexplored. To address this, we introduce BTZSC, a comprehensive benchmark of 22 public datasets spanning sentiment, topic, intent, and emotion classification, capturing diverse domains, class cardinalities, and document lengths. Leveraging BTZSC, we conduct a systematic comparison across four major model families, NLI cross-encoders, embedding models, rerankers and instruction-tuned LLMs, encompassing 38 public and custom checkpoints. Our results show that: (i) modern rerankers, exemplified by Qwen3-Reranker-8B, set a new state-of-the-art with macro F1 = 0.72; (ii) strong embedding models such as GTE-large-en-v1.5 substantially close the accuracy gap while offering the best trade-off between accuracy and latency; (iii) instruction-tuned LLMs at 4--12B parameters achieve competitive performance (macro F1 up to 0.67), excelling particularly on topic classification but trailing specialized rerankers; (iv) NLI cross-encoders plateau even as backbone size increases; and (v) scaling primarily benefits rerankers and LLMs over embedding models. BTZSC and accompanying evaluation code are publicly released to support fair and reproducible progress in zero-shot text understanding.

LLM-Augmented Therapy Normalization and Aspect-Based Sentiment Analysis for Treatment-Resistant Depression on Reddit

Treatment-resistant depression (TRD) is a severe form of major depressive disorder in which patients do not achieve remission despite multiple adequate treatment trials. Evidence across pharmacologic options for TRD remains limited, and trials often do not fully capture patient-reported tolerability. Large-scale online peer-support narratives therefore offer a complementary lens on how patients describe and evaluate medications in real-world use. In this study, we curated a corpus of 5,059 Reddit posts explicitly referencing TRD from 3,480 subscribers across 28 mental health-related subreddits from 2010 to 2025. Of these, 3,839 posts mentioned at least one medication, yielding 23,399 mentions of 81 generic-name medications after lexicon-based normalization of brand names, misspellings, and colloquialisms. We developed an aspect-based sentiment classifier by fine-tuning DeBERTa-v3 on the SMM4H 2023 therapy-sentiment Twitter corpus with large language model based data augmentation, achieving a micro-F1 score of 0.800 on the shared-task test set. Applying this classifier to Reddit, we quantified sentiment toward individual medications across three categories: positive, neutral, and negative, and tracked patterns by drug, subscriber, subreddit, and year. Overall, 72.1% of medication mentions were neutral, 14.8% negative, and 13.1% positive. Conventional antidepressants, especially SSRIs and SNRIs, showed consistently higher negative than positive proportions, whereas ketamine and esketamine showed comparatively more favorable sentiment profiles. These findings show that normalized medication extraction combined with aspect-based sentiment analysis can help characterize patient-perceived treatment experiences in TRD-related Reddit discourse, complementing clinical evidence with large-scale patient-generated perspectives.

Beyond Polarity: Multi-Dimensional LLM Sentiment Signals for WTI Crude Oil Futures Return Prediction

Forecasting crude oil prices remains challenging because market-relevant information is embedded in large volumes of unstructured news and is not fully captured by traditional polarity-based sentiment measures. This paper examines whether multi-dimensional sentiment signals extracted by large language models improve the prediction of weekly WTI crude oil futures returns. Using energy-sector news articles from 2020 to 2025, we construct five sentiment dimensions covering relevance, polarity, intensity, uncertainty, and forwardness based on GPT-4o, Llama 3.2-3b, and two benchmark models, FinBERT and AlphaVantage. We aggregate article-level signals to the weekly level and evaluate their predictive performance in a classification framework. The best results are achieved by combining GPT-4o and FinBERT, suggesting that LLM-based and conventional financial sentiment models provide complementary predictive information. SHAP analysis further shows that intensity- and uncertainty-related features are among the most important predictors, indicating that the predictive value of news sentiment extends beyond simple polarity. Overall, the results suggest that multi-dimensional LLM-based sentiment measures can improve commodity return forecasting and support energy-market risk monitoring.