COVID-19 Pandemic Data Predict the Stock Market

Unlike the 2007–2008 market crash, which was caused by a banking failure and led to an economic recession, 1918 influenza pandemic triggered worldwide financial depression. Pandemics usually affect global economy, COVID-19 is no exception. Many stock markets have fallen over 40%, companies are shutting down, ending contracts, issuing voluntary involuntary leaves for thousands of employees. These effects increase in unemployment rates, crime, instability. Studying pandemics’ effects, especially on market, has not been urgent or feasible until recently. However, with advances artificial intelligence (AI) inter-connectivity that social media provides, such research become possible. In this paper, we propose COVID-19-based prediction system (C19-SM2) utilizes media. Our AI enables economists study how data influence and, hence, market. C19-SM2 gathers infection death cases reported authorities from geographic area extracts sentiments events occur area. The information then fed support vector machine (SVM) random forest tree classifiers along current values. Then, produces projection market’s movement during next day. We tested Dow Jones Industrial Average (DJI) Tadawul All Share Index (TASI). achieved accuracy 99.71%, substantially higher than 89.93% related literature; inclusion improved 9.78%.