A recent study from the University of Florida suggests that ChatGPT can accurately predict stock market trends. Analyzing data from October 2021 to December 2022, the research found that trading models driven by ChatGPT yielded returns over 500%, surpassing the -12% return from holding an S&P 500 ETF during the same period. The study highlights ChatGPT's superior performance compared to other language models (GPT-1, GPT-2, BERT) and traditional sentiment analysis methods. The research team used ChatGPT (powered by GPT-3.5) to evaluate whether a given headline was indicative of Good News, Bad News, or Unknown, also asking for a brief explanation. Depending on this, ChatGPT made a decision to buy or sell.

A recent study from the University of Florida suggests that ChatGPT can accurately predict stock market trends. Analyzing data from October 2021 to December 2022, the research found that trading models driven by ChatGPT yielded returns over 500%, surpassing the -12% return from holding an S&P 500 ETF during the same period. The study highlights ChatGPT's superior performance compared to other language models (GPT-1, GPT-2, BERT) and traditional sentiment analysis methods. The research team used ChatGPT (powered by GPT-3.5) to evaluate whether a given headline was indicative of Good News, Bad News, or Unknown, also asking for a brief explanation. Depending on this, ChatGPT made a decision to buy or sell.