Bloggers’ Free Investment Advice Worth Every Penny

Michael Giberson

Apparently bloggers are not reliable market forecasters. Or, at least, that is the conclusion of an analysis by the CXO Advisory Group LLC comparing market returns to the Ticker Sense Blogger Sentiment Poll.

The CXO blog concluded that “blogger sentiment: (1) mostly reacts to what just happened in the stock market; and, (2) does not predict stock market behavior.”

For related ideas, see the CXO blog’s highlights from Andrew Lo’s article on the Efficient Market Hypothesis (to appear in the next edition of New Palgrave Dictionary of Economics).