Market Reaction to iPhone Rumors

The paper studies the effects of new product rumors about iPhone on stock price Apple company. We scrape from Macrumors.com, and obtain a dataset covering 1,264 articles containing 180 words average between January 2002 December 2015. Moreover, we construct market-decided lexicon to transform qualitative information into quantitative data, analyze what type embedded in are apt impact Apple’s price. Unlike previous studies, do not rely widely-adopted Harvard-IV-4 dictionary, as coefficients dictionary neither significant nor consistent with their polarities, compared our results. obtains three main findings. First, spread has Second, positive words, rather than negative play an important role affecting Third, is highly sensitive related appearance iPhone.