An asymmetric arcsecond radio jet from Circinus X-1

In observations with the Australia Telescope Compact Array we have resolved the radio counterpart of the unusual X-ray binary Cir X-1 into an asymmetric extended structure on arcsecond scales. In order to quantify the asymmetry we have redetermined as accurately as possible both the optical and radio coordinates of the source. The extended emission can be understood as a compact, absorbed core at the location of the X-ray binary, and extended emission up to 2 arcsec to the southeast of the core. The arcsec-scale extended emission aligns with the larger, more symmetric arcmin-scale collimated structures in the surrounding synchrotron nebula. This suggests that the transport of mass and/or energy from the X-ray binary to the synchroton nebula is occurring via the arcsec-scale structures. The ratio of extended flux from the southeast to that from the northwest of the core is at least 2:1. Interpreted as relativistic aberration of an intrinsically symmetric jet from the source, this implies a minimum outflow velocity of 0.1 c. Alternatively, the emission may be intrinsically asymmetric, perhaps as a result of the high space velocity of the system.Comment: Accepted for publication in ApJ Letters. Three figure

Optical Spectroscopy of Galactic Cirrus Clouds: Extended Red Emission in the Diffuse Interstellar Medium

We present initial results from the first optical spectroscopic survey of high latitude Galactic cirrus clouds. The observed shape of the cirrus spectrum does not agree with that of scattered ambient Galactic starlight. This mismatch can be explained by the presence of Extended Red Emission (ERE) in the diffuse interstellar medium, as found in many other astronomical objects, probably caused by photoluminescence of hydrocarbons. The integrated ERE intensity, I_ERE \approx 1.2 x 10^{-5} erg s^{-1} cm^{-2} sr^{-1}, is roughly a third of the scattered light intensity, consistent with recent color measurements of diffuse Galactic light. The peak of the cirrus ERE (lambda_{0} \sim 6000 AA) is shifted towards short (bluer) wavelengths compared to the ERE in sources excited by intense ultraviolet radiation, such as HII regions (lambda_{0} sim 8000 AA); such a trend is seen in laboratory experiments on hydrogenated amorphous carbon films.Comment: 7 pages, 2 figures. Accepted for publication in ApJ Letter

A stochastic volatility Libor model and its robust calibration

In this paper we propose a Libor model with a high-dimensional specially structured system of driving CIR volatility processes. A stable calibration procedure which takes into account a given local correlation structure is presented. The calibration algorithm is FFT based, so fast and easy to implement.Libor modelling, stochastic volatility, CIR processes, calibration

Credit Derivatives Pricing with a Smile-Extended Jump Stochastic Intensity Model

We present a two-factor stochastic default intensity and interest rate model for pricing single-name default swaptions. The specific positive square root processes considered fall in the relatively tractable class of affine jump diffusions while allowing for inclusion of stochastic volatility and jumps in default swap spreads. The parameters of the short rate dynamics are first calibrated to the interest rates markets, before calibrating separately the default intensity model to credit derivatives market data. A few variants of the model are calibrated in turn to market data, and different calibration procedures are compared. Numerical experiments show that the calibrated model can generate plausible volatility smiles. Hence, the model can be calibrated to a default swap term structure and few default swaptions, and the calibrated parameters can be used to value consistently other default swaptions (different strikes and maturities, or more complex structures) on the same credit reference name.Credit derivatives, credit default, swap, credit default swaption, jump-diffusion, stochastic intensity, doubly stochastic poisson process, cox process

HerschelHerschel SPIRE-FTS observations of RCW 120

The expansion of Galactic HII regions can trigger the formation of a new generation of stars. However, little is know about the physical conditions that prevail in these regions. We study the physical conditions that prevail in specific zones towards expanding HII regions that trace representative media such as the photodissociation region, the ionized region, and condensations with and without ongoing star formation. We use the SPIRE Fourier Transform Spectrometer (FTS) on board $Herschel$ to observe the HII region RCW 120. Continuum and lines are observed in the $190-670\,\mu$m range. Line intensities and line ratios are obtained and used as physical diagnostics of the gas. We used the Meudon PDR code and the RADEX code to derive the gas density and the radiation field at nine distinct positions including the PDR surface and regions with and without star-formation activity. For the different regions we detect the atomic lines [NII] at $205\,\mu$m and [CI] at $370$ and $609\,\mu$m, the $^{12}{\rm CO}$ ladder between the $J=4$ and $J=13$ levels and the $^{13}{\rm CO}$ ladder between the $J=5$ and $J=14$ levels, as well as CH$^{+}$ in absorption. We find gas temperatures in the range $45-250\,$K for densities of $10^4-10^6\,{\rm cm}^{-3}$, and a high column density on the order of $N_{{\rm H}}\sim10^{22}\,{\rm cm}^{-2}$ that is in agreement with dust analysis. The ubiquitousness of the atomic and CH$^{+}$ emission suggests the presence of a low-density PDR throughout RCW 120. High-excitation lines of CO indicate the presence of irradiated dense structures or small dense clumps containing young stellar objects, while we also find a less dense medium ($N_{{\rm H}}\sim10^{20}\,{\rm cm}^{-2}$) with high temperatures ($80-200\,$K).Comment: 11 pages, 11 figures, accepted by A&