Is there alpha in Twitter tirades?

These days, perhaps the world’s most powerful person picks up his phone and regularly tweets nasty or nice things about public companies. Toyota, Lockheed Martin and Boeing are some of the more prominent guest stars on the president’s new reality tweetshow. The attached podcast discusses this phenomena and ponders whether the market will grow tired of this bully pulpit technique. We have no doubt, though, that traders who mine Twitter for signals, and the providers of Twitter sentiment analytics and alerts (such as Trigger), aren’t pondering that question too deeply. They’re likely fast at work in figuring out how to maximize the Trump effect in the here and now.

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