The Effects of Donald Trump’s Tweets on The Stock Exchange

Yardley, Ben (2020): The Effects of Donald Trump’s Tweets on The Stock Exchange.

Abstract

Donald Trump is a huge personality in a unique social, political and financial situation. Through twitter he is able to influence his following instantly with no regulation, often with large unforeseen repercussions.

The aim of this report is to identify Trump’s company specific tweets, quantify the mood and feeling of the tweets through sentiment analysis and then investigate the correlation between this and the effect is on the stock prices of these companies. This will be done through a regression of the sentiment and the returns of the company over serval time periods. Further investigation will the take place in order to analyse how neutrally classified tweets are impacted, as well as the effect of the number likes and retweets a tweet has on the stock price of a company.

• Item Type: MPRA Paper
• Language: English
• Keywords: Donald; Trump; Tweet; Sentiment; Analysis; Twitter; Mood; Share; Shares; Stocks; Prices
• Subjects: A - General Economics and Teaching > A1 - General Economics > A14 - Sociology of Economics; A - General Economics and Teaching > A2 - Economic Education and Teaching of Economics > A22 - Undergraduate; G - Financial Economics > G0 - General; G - Financial Economics > G1 - General Financial Markets > G14 - Information and Market Efficiency ; Event Studies ; Insider Trading; G - Financial Economics > G1 - General Financial Markets > G17 - Financial Forecasting and Simulation

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