Abstract
This study builds the causal link between the online media and finance market using the context of Chinese stock market. We find that, ranking higher in a typical daily market report causes a stock to have 10% more chance to open higher on the second day than those lower ranked stocks. We further find evidence that this impact of social media reflects a bias rather than a rational expectation, and the effect is stronger when more stocks reach the price limit. However, this effect disappears when investors are given more time to think.
| Original language | English |
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| Title of host publication | International Conference on Information Systems, ICIS 2020 - Making Digital Inclusive |
| Subtitle of host publication | Blending the Local and the Global |
| Publisher | Association for Information Systems |
| ISBN (Electronic) | 9781733632553 |
| Publication status | Published - 2021 |
| Event | 2020 International Conference on Information Systems - Making Digital Inclusive: Blending the Local and the Global, ICIS 2020 - Virtual, Online, India Duration: 13 Dec 2020 → 16 Dec 2020 |
Publication series
| Name | International Conference on Information Systems, ICIS 2020 - Making Digital Inclusive: Blending the Local and the Global |
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Conference
| Conference | 2020 International Conference on Information Systems - Making Digital Inclusive: Blending the Local and the Global, ICIS 2020 |
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| Country/Territory | India |
| City | Virtual, Online |
| Period | 13/12/20 → 16/12/20 |
Bibliographical note
Publisher Copyright:© ICIS 2020. All rights reserved.
Keywords
- Bias
- Online media
- Ranking effect
- Stock market