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Textual analysis for China’s financial markets: a review and discussion

Textual analysis for China’s financial markets: a review and discussion This is a literature survey paper. The purpose of this paper is to focus on the latest developments in textual analysis on China’s financial markets, highlighting its differences from existing works in the US markets.Design/methodology/approachThe authors review the literature and carry out an experiment of sentiment analysis based on a small sample of Chinese news articles.FindingsBased on the experiment of sentiment analysis, there is limited evidence on the association between sentiment and other contemporaneous or future returns.Originality/valueThe supply of financial textual information has grown exponentially in the past decades. Technological advancements in recent years make the programming-based analysis an effective tool to digest such information. The authors highlight the use of credible textual information and discuss directions of research in this important field. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png China Finance Review International Emerald Publishing

Textual analysis for China’s financial markets: a review and discussion

Huang, Alan; Wu, Wenfeng; Yu, Tong
China Finance Review International , Volume 10 (1): 15 – Jan 22, 2020
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Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
2044-1398
DOI
10.1108/cfri-08-2019-0134
Publisher site
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Abstract

This is a literature survey paper. The purpose of this paper is to focus on the latest developments in textual analysis on China’s financial markets, highlighting its differences from existing works in the US markets.Design/methodology/approachThe authors review the literature and carry out an experiment of sentiment analysis based on a small sample of Chinese news articles.FindingsBased on the experiment of sentiment analysis, there is limited evidence on the association between sentiment and other contemporaneous or future returns.Originality/valueThe supply of financial textual information has grown exponentially in the past decades. Technological advancements in recent years make the programming-based analysis an effective tool to digest such information. The authors highlight the use of credible textual information and discuss directions of research in this important field.

Journal

China Finance Review International – Emerald Publishing

Published: Jan 22, 2020

Keywords: Textual analysis; Natural language processing; Chinese financial market; Information content of news

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