Why Microsoft Stock Lagged the Market Today
Technically speaking, Microsoft (NASDAQ: MSFT) had a positive Tuesday on the stock exchange. However, its share price only crawled 0.4% higher, lagging the nearly 0.6% rise of the S&P 500 index. The reason for the investor hesitation was a potential regulatory headache for the tech industry giant.
The European Commission (EC), the executive arm of the 27-nation European Union, said in a statement that morning it has opened an in-depth investigation of Microsoft's deal to buy top video game company Activision Blizzard (NASDAQ: ATVI).
The EC's preliminary investigation found that a potential Microsoft/Activision tie-up could "significantly reduce" competition for video games. This market includes multi-game subscription services, cloud game streaming services, and even the PC operating systems that Microsoft has built its business upon.
Source Fool.com
