AI RESEARCH

From Observations to States: Latent Time Series Forecasting

arXiv CS.LG

ArXi:2602.00297v2 Announce Type: replace Deep learning has achieved strong performance in Time Series Forecasting (TSF). However, we identify a critical representation paradox, termed Latent Chaos: models with accurate predictions often learn latent representations that are temporally disordered and lack continuity. We attribute this to the dominant observation-space forecasting paradigm, where minimizing point-wise errors on noisy and partially observed data encourages shortcut solutions instead of the recovery of underlying system dynamics.