Research on Overreaction of CHINA GEM -- Based on Investor Sentiment

Abstract: As countries and regions become more interconnected through the Internet, the impact of infectious public health events is no longer confined to the local area, and it can also spread to other regions through the Internet. The COVID-19 broke out in early 2020 and soon formed a major public health event. Overreaction, one of the common anomalies in the financial market, often occurs after major events, so it is necessary to explore whether there is an overreaction during the epidemic. This paper studies the phenomenon of overreaction in the GEM market in the short, medium and long term. It compares the characteristics of overreaction in the GEM market before and after the epidemic. This paper finds an overreaction phenomenon in China's GEM market before and after the epidemic.