This is a micro-level trace of how information is disseminated and incorporated in financial markets in a era of great flux in news and digital “news-like” information. The case involves Accentia Biopharmaceuticals, which was the largest percentage gainer in US stock markets on the morning of Oct 19, 2006.
Several interesting issues raised here.
- How should investors and traders, and their information providers, should deal with disintermediated information?
- There is more news than people can handle, and far more distintermediated news. Some means beyond basic keyword search is needed
examples like this one, which has language that would be of interest any
time, useful as the basis for “more like this” persistent search?
- How to obtain the “meta-knowledge” (e.g. in this case, the relationship between the vaccine name and the company that makes it) needed to interpret news in a trading and investing context. What combination of automation and human contributions are appropriate?