Google and stock market predictions
NOV 15, 2010
DOI: 10.1063/PT.5.024826
Science : A team of scientists has shown a strong correlation between queries submitted to the internet search giant Google and the weekly fluctuations in stock trading, according to Science‘s John Bohannon. To predict the market, you need data on what is going through people’s minds before they make their financial decisions. One such source of data is the total weekly volume of internet search queries, now available to researchers through Google Trends . Although the Google data could not predict the weekly fluctuations in stock prices, the research team found a strong correlation between internet searches for a company’s name and its trade volume—the total number of times the stock changed hands over a given week. The team’s findings are to be published later this week in Philosophical Transactions of the Royal Society A.
© 2010 American Institute of Physics
