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Transforming Sentiment Analysis in the Financial Domain with ChatGPT

2023-08-13 · Georgios Fatouros, John Soldatos, Kalliopi Kouroumali, Georgios Makridis, Dimosthenis Kyriazis

Financial sentiment analysis plays a crucial role in decoding market trends and guiding strategic trading decisions. Despite the deployment of advanced deep learning techniques and language models to refine sentiment analysis in finance, this study breaks new ground by investigating the potential of large language models, particularly ChatGPT 3.5, in financial sentiment analysis, with a strong emphasis on the foreign exchange market (forex). Employing a zero-shot prompting approach, we examine multiple ChatGPT prompts on a meticulously curated dataset of forex-related news headlines, measuring performance using metrics such as precision, recall, f1-score, and Mean Absolute Error (MAE) of the sentiment class. Additionally, we probe the correlation between predicted sentiment and market returns as an additional evaluation approach. ChatGPT, compared to FinBERT, a well-established sentiment analysis model for financial texts, exhibited approximately 35\% enhanced performance in sentiment classification and a 36\% higher correlation with market returns. By underlining the significance of prompt engineering, particularly in zero-shot contexts, this study spotlights ChatGPT's potential to substantially boost sentiment analysis in financial applications. By sharing the utilized dataset, our intention is to stimulate further research and advancements in the field of financial services.

📄 PDF Abstract BibTeX arXiv:2308.07935

Code (1)

giorgosfatouros/Financial-Sentiment-Analysis-with-ChatGPT 공식 구현

Tasks

Prompt EngineeringSentiment AnalysisSentiment Classification

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