Switched has a new home! Huffpost Tech.

Click here to visit the new home of Switched!

Hot on HuffPost Tech:

See More Stories
AOL Tech

Hedge Fund Managers Look to Get Ahead With Twitter

by Caleb Johnson on June 25, 2009 at 03:58 PM

Twitter just keeps changing the way our world operates. You can use the microblogging site to speak directly to government officials, engage in church worship services, and even participate in science experiments. There's really no quicker way on the Web to get information.

Now, stock traders are using the site to keep an eye on the market, according to The Telegraph. Thanks to Streambase, an American software company, traders are scanning tweets for any information that could affect market prices. The software uses technology based on complicated algorithms, which have been used to scan news sites like Reuters and Bloomberg for quite some time. The software's main purpose will be to allow traders to consider breaking news, such as bombings or monsoons, before making a risky purchase or sale. As we all know, news hits Twitter first.

These days, traders probably need every advantage possible. But we wonder if this software could lead to some bad moves due to nasty rumors on Twitter. After all, we've seen that rumors hurt tech stocks in the past. Could too much information be a bad thing here? Possibly, but we think with a careful eye and solid judgment, this software might positively change the way traders do business. [From: The Telegraph]

Tags: hedge funds, HedgeFunds, market news, MarketNews, money, software, stock market, StockMarket, twitter

Add your comments

Please keep your comments relevant to this blog entry. Email addresses are never displayed, but they are required to confirm your comments.

When you enter your name and email address, you'll be sent a link to confirm your comment, and a password. To leave another comment, just use that password.

To create a live link, simply type the URL (including http://) or email address and we will make it a live link for you. You can put up to 3 URLs in your comments. Line breaks and paragraphs are automatically converted — no need to use <p> or <br /> tags.

HuffPost AOL Social News Most Popular