Signals & Sentiments: How GPT-2 and FinBERT Beat Buy-and-Hold on the S&P 500
When it comes to trading the S&P 500, tradition says: trust the chart. But a new study from UCLA researchers proposes a smarter compass—one that listens not only to price momentum but also to the tone of the news. By merging language model-powered sentiment scores with technical indicators and time-series forecasting, the authors build a hybrid strategy that outperforms a buy-and-hold baseline during a volatile 3-month window. ...