Saudi oil company Aramco has overtaken Apple as the world's most valuable company, buoyed by the recent rise in oil prices, while rising inflation is choking off demand for tech stocks like the Cupertino firm.

Thus, Aramco is close to its highest level in history and, with a market capitalization of about 2.3 trillion euros, has been ahead of Apple for the first time since 2020. The iPhone maker fell this Wednesday close to 4% in New York, until achieving a valuation of 2.29 billion euros.

Even if the move proves short-lived and Apple returns to the top spot, the change in leadership mirrors current movements sweeping the global economy. The rebound in oil prices, while good for Aramco's profits, is exacerbating rising inflation that is forcing the Federal Reserve to raise interest rates at the fastest pace in decades. The more the price of money has risen, the more investors will discount the value of tech companies' future income streams and drive their shares down.

Earlier this year, Apple boasted a market value of $3 trillion, roughly $1 trillion more than Aramco. Since then, however, Apple is down 16%, while Aramco is up 27%.

According to Tim Ghriskey, Ingalls strategist