Shares of major technology company Apple (AAPL -2.02%) have declined today, probably for two different reasons. The first is the morning that Apple may face further changes in dishonesty by the European Union (EU), and the second is that Apple's stock is likely to collapse with the wider market downturn today.
Technology stock has dropped to 2.3% today and dropped 1.9% from 1:57 p.m. ET.
So what
EU reports looking at potential problems of infidelity with Apple are nothing new - regulators began their investigation last year. But the new thing is that they seem to be adding a new charge to Apple "to distort the competition in the music streaming market.
Neither Apple nor the EU has commented on today's report, but the news agency says the charges could be disclosed in the coming weeks, and stem from a complaint lodged by music broadcaster Spotify.
Consideration of potential fraud issues is not new to Apple, but some investors may be concerned that Apple may have a long court battle ahead of it.
Additionally, Apple's stock is likely to fall today in sympathy for the S&P 500's 1.2% decline.
Investors are increasingly concerned that inflation - more than 40 years - could continue to have a negative impact on the U.S. economy.
All eyes are on the Federal Reserve, which will meet again next month, to see which officials will raise interest rates to reduce inflation.
Now what
With so much uncertainty in the market right now and Apple facing new charges in the case of dishonesty, it is not surprising that some investors have sold Apple stock today.
But long-term investors should keep all volatility in mind and remember that nothing has changed with Apple's business. Instead of selling news or panic because other investors are selling, investors can do better remembering that buying and holding stocks of large companies for five years or more is the best way to build wealth.
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Courtesy Grizler.com
