| Media-aware stock performance has been well recognized in recent studies.Previous research,however,focused on the content influence of the media,ignoring the manner in which the media is delivered.In fact,news also generates many features in the dissemination process that affect the securities market.For example,the media platforms of the news,provides the information carrier and trust endorsement for the news.Even the same news may have a different impact on the securities market because of the different media platforms.Secondly,the rapid development of the Internet has led to a rapid decline in the cost of information dissemination,and the release and forwarding of information is more convenient.In the process of news dissemination,the characteristic of repetitive media coverage is obvious.This study can provide a new perspective on the effects of traditional media effect based on news dissemination.At the same time,it is possible to extend the scope of existing research by quantifying news dissemination indicators to further study the impact on stock performance and effectiveness.Finally,this study can provide useful suggestions and references for multiple market participants,including market regulators,firms,media and investors.Based on the trust theory,this study argues that the media platforms,as media distribution vehicles and trust endorsement for news,are themselves influential on the stock market.This study collected news data from seven Chinese mainstream media platforms and classified them into official,professional,and mass media platforms to investigate the impact of different platforms.This study finds that high official and professional media coverage predict increased abnormal returns,while high mass media coverage predicts the opposite.In addition,this study systematically explores the mechanism of media platforms on stock performance from the perspectives of platform content,audience,and timeliness.The findings include that investors’ attention to media platforms has a moderating effect on the stock performance,and such an effect is more salient in bear markets.Meanwhile,this study theoretically and empirically validates the impact of repetitive media coverage on the stock market.The results show that repetitive information has an inverted U-shaped relationship with stock performance.Among them,the "echo chamber" effect can be used to explain the left-side trend of the Ushape,and the information technology "abuse" hypothesis can explain the right side.In addition,further research finds that this inverted U-shaped relationship is influenced by investor attention,media sources,and news sentiment.In order to learn the effect of repetitive media coverage on stock market effectiveness,this study selects price informativeness as the main measure of market effectiveness.This study mainly finds that repetitive media coverage suppresses price informativeness,and this suppression effect is manifested in the suppression of stock liquidity and the reduction of analysts’ effective contribution in the capital market.The negative effect of repetitive media coverage on capital market effectiveness is also found in post earnings-announcement-drift(PEAD),while this study finds that the effect of repetitive media coverage on price informativeness content of non-state-owned enterprises is more pronounced.In summary,this study provides views for understanding news communication of micro subjects,as well as insights for creating a healthy information environment and communication channels.It also extends the perspective for exploring the communication of media platforms and repetitive media coverage on the capital market.It provides suggestions and insights for the market participants to grasp the law of news communication. |
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