Googling Gold and Mining Bad News
17 Pages Posted: 8 Jan 2016 Last revised: 28 Jul 2016
Date Written: January 7, 2016
This paper studies investor's attention to gold price movements by analyzing the relationship between gold price changes and internet search queries for gold. We find a positive relationship of gold price volatility and search queries and a strong asymmetric effect of negative gold price changes on search queries indicating a preference to mine (google) bad news rather than good news. The analysis of silver, palladium and platinum demonstrates that the findings for gold are unique.
Keywords: gold, volatility, investor attention, google, search queries
JEL Classification: G02, G11, Q02
Suggested Citation: Suggested Citation