It is argued in literature that transparency may be detrimental to welfare. Morris and Shin (2002) suggest reducing the precision of public information or withholding it. The latter seems to be unrealistic. Thus, the issue is not whether central bank should disclose or not its information, but...

We show that the uncertain talking at the European Central Bank’s press conference raises stock returns of the Eurozone. By decomposing the uncertain talking into two types, we find that the positive returns are driven by one type, the average meaning of which is represented by words "risk”,...