Oil’s continued rise in recent months has pushed up the value of state-owned Saudi Aramco to nearly $2 trillion, positioning the company within striking distance of Apple Inc. as the world’s most valuable.
The price of oil retreated on Wednesday after reaching the highest since 2014, as “risks to global growth from surging prices of energy commodities forced equities lower, while an industry report pointed to higher U.S. crude stockpiles,” Bloomberg reports.
Global benchmark Brent settled at $81.49, roughly double the price from one year ago.
The latest surge in oil was boosted by the refusal this week by the OPEC+ group of producers to boost output faster and comes against a backdrop of concern about tight energy supply globally.
According to Bloomberg, Saudi Aramco cut prices for all its crudes destined for Asia and Europe, and for some grades to U.S. At least four Asian buyers will request full supply of November-loading cargoes.
The strengthening of oil’s price has driven the market value of state-owned Saudi Aramco to $2 trillion, just shy of Apple, the world’s most valuable company, at $2.3 trillion. Some analysts, including Bank of America, predict that oil may reach $100 this year as the world attempts to recover from the lost pandemic year.
