Market moving language under machine learning microscope

You could become your own worst enemy. CEOs and other managers are increasingly under the microscope as some investors use artificial intelligence to learn and analyze their language patterns and tone, opening up a new frontier of opportunities to slip up. In late 2020, according to language pattern software specialist Evan Schnidman, some executives in the IT industry were playing down the possibility of semiconductor chip shortages while discussing supply-chain disruptions. All was fine, they said. Yet the tone of their speech showed high levels of uncertainty, according to an algorithmic analysis designed to spot hidden clues in -- ideally unscripted -- spoken words. "We found that IT sector executives' tone was inconsistent with the positive textual sentiment of their remarks," said Schnidman, who advises two fintech companies behind the analysis.