Power of 280: Measuring the Impact of Elon Musk's Tweets on the Stock Market
Keywords:Twitter, Elon Musk, Sentiment analysis, Cumulative abnormal returns, Event study, Stock market, the stock price
This research aims to measure the extent up to which Elon Musk’s Twitter posts may influence stock prices of companies tagged, specifically the essential market metrics such as price, volume, and returns obtained from listed stocks. Intra-day data from well-recognized data providers have been utilized, for a period of 900 minutes, ranging from -600 minutes to +360 minutes, with the 0th minute being the time of his tweet (t=0). The study incorporates an event study and has adopted sentiment analysis and cumulative abnormal returns and found a significant impact of his tweets on five of the eight events.
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