Abstract
This paper hopes to find the relationships between financial news articles and the stock market and the information content gap between financial news articles and footnotes to financial statements. We use 90 listed companies in Taiwan Stock Exchange of 2013 to test stock market responses to the information content in the financial news articles and footnotes to financial statements. The content analysis technique used to find the information content to stock market reactions and compare the information content gap between financial news articles and footnotes to financial statements. Then, we find that optimistic sentiment expressed in financial news articles positively relates to the stock price movement. However, we are unable to reach a conclusion that information disclosed in the footnotes to financial statements is significantly enough to represent the existence of information content gap as compared to financial news articles.
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This research is supported by NSC 102-2627-E-004 -001, MOST 103-2627-E-004 -001, MOST 104-2627-E-004-001, MOST 105-2811-H-004-035.
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Seng, JL., Huang, KY., Yang, HF. (2017). Financial Reports and Financial News—An Information Content Gap Analysis. In: Król, D., Nguyen, N., Shirai, K. (eds) Advanced Topics in Intelligent Information and Database Systems. ACIIDS 2017. Studies in Computational Intelligence, vol 710. Springer, Cham. https://doi.org/10.1007/978-3-319-56660-3_29
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DOI: https://doi.org/10.1007/978-3-319-56660-3_29
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