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Say It at the Right Time: Publication Time of Financial News

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Enterprise Applications, Markets and Services in the Finance Industry (FinanceCom 2016)

Part of the book series: Lecture Notes in Business Information Processing ((LNBIP,volume 276))

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Abstract

By law, stock-listed companies must immediately disclose any information that might influence the valuation of the company in order to ensure a fair supply of information to all interested parties. However, laws and regulations do not specify clear requirements regarding the language used and the exact timing when information may be considered relevant enough for disclosure. Previous research shows that delaying bad news provides more time to adjust the language of an announcement in order to encourage a more optimistic perception. This paper investigates how the positive or negative character of news content influences the daily timing of the announcement and how the timing relates to stock performance. We find that negative messages are slightly longer than positive ones. In addition, announcements released before trading tend to have a more positive sentiment than those released during intraday trading, which may reflect a longer preparation time.

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Notes

  1. 1.

    Deutsche Gesellschaft für Ad-hoc Publizität (DGAP). http://www.dgap.de/.

  2. 2.

    http://www.xetra.com/xetra-de/handel/handelsinformationen/handelszeiten/.

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Author information

Authors and Affiliations

  1. University of Freiburg, Freiburg, Germany

    Dorina Palade, Simon Alfano & Dirk Neumann

Authors
  1. Dorina Palade
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  2. Simon Alfano
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  3. Dirk Neumann
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Corresponding author

Correspondence to Simon Alfano .

Editor information

Editors and Affiliations

  1. University of Freiburg, Freiburg, Germany

    Stefan Feuerriegel

  2. University of Freiburg, Freiburg, Germany

    Dirk Neumann

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Palade, D., Alfano, S., Neumann, D. (2017). Say It at the Right Time: Publication Time of Financial News. In: Feuerriegel, S., Neumann, D. (eds) Enterprise Applications, Markets and Services in the Finance Industry. FinanceCom 2016. Lecture Notes in Business Information Processing, vol 276. Springer, Cham. https://doi.org/10.1007/978-3-319-52764-2_5

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