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This lecture covers the analysis of market response functions, flash crashes, noise filtering in covariance matrices, and correlation estimation in finance. Students will learn about flash crash detection algorithms, cross-asset response functions, correlation between asynchronous time series, and the curse of dimensionality in correlation matrices. The lecture also delves into random matrix theory, Marčenko-Pastur distribution, eigenvalues-eigenvectors in PCA, and noise filtering by eigenvalue clipping for portfolio optimization.