As an experiment, they hired Turkers to label a sample of news items about Barack Obama and Hillary Clinton as either positive or negative for each of the candidates. As it turns out, every news source was pro-Obama except ABC News, with Digg being the pro-est of the pro-Obama camp.
They then plotted changes in news sentiment alongside the price of Obama’s intrade contract:
Visually, there appears to be a correlation and news sentiment may actually be the leading indicator between the two, however it would be great to see statistical confirmation, if it’s even possible with such a small sample.
I sent Lukas some poll data and search buzz data that we’ve been collecting for the Yahoo! Election Dashboard. I’ll post an update if anything interesting results from lining up all four signals.