Does financial news influence the market? Analyzing news impact on market returns with Supervised Latent Semantic Indexing

The method chosen in this paper is a supervised machine learning approach. This tool, called Supervised Latent Semantic Indexing will be used to retrieve information from 35 thousand news articles from The New York Times, reporting on over 100 years of financial markets history. The resulting quantitative information will serve as a potential predictor for the Dow Jones Industrial Average.