Page 25 - ARUBA TODAY

BUSINESS Friday 3 august 2018
A25

Financial fruit: Apple becomes 1st trillion-dollar company

By MICHAEL LIEDTKE ed, Saudi Aramco's actual
Associated Press value remains murky.
SAN FRANCISCO (AP) — Jobs' vision, showmanship
Apple has become the and sense of style propelled
world's first publicly traded Apple's comeback. But it
company to be valued at might not have happened
$1 trillion, the financial fruit if he hadn't evolved into a
of stylish technology that more mature leader after
has redefined what we ex- his exit from the company
pect from our gadgets. in 1985. His ignominious de-
The milestone reached parture came after losing
Thursday marks the latest a power struggle with John
triumph of a trend-setting Sculley, a former Pepsico
company that two maver- executive who he recruited
icks named Steve started in to become Apple's CEO
a Silicon Valley garage 42 in 1983 — seven years af-
years ago. ter he and his geeky friend
The achievement seemed Steve Wozniak teamed up
unimaginable in 1997 to start the company with
when Apple teetered on the administrative help of
the edge of bankruptcy, Ronald Wayne.
with its stock trading for less Jobs remained mercu-
than $1, on a split-adjusted rial when he returned to
basis., and its market value Apple, but he had also
dropping below $2 billion. become more thoughtful
To survive, Apple brought and adept at spotting tal-
back its once-exiled co- In this Jan. 9, 2007 file photo, Apple CEO Steve Jobs holds up the new iPhone during his keynote ent that would help him
founder, Steve Jobs, as in- address at MacWorld Conference & Expo in San Francisco. create a revolutionary in-
terim CEO and turned to Associated Press novation factory. One of
its archrival Microsoft for a his biggest coups came in
$150 million cash infusion to popular products such as Apple hit the $1 trillion mark di Arabian Oil Co. could 1998 when he lured a soft-
help pay its bills. the iPod and iPhone that when its shares reached eclipse Apple if it goes spoken Southerner, Tim
If someone had dared to subsequently drove Apple's $207.04 around midday through with plans for an Cook, away from Compaq
buy $10,000 worth of stock rise. The stock has been in New York. They rose to initial public offering. Saudi Computer at a time when
at that point of despera- surging this week as antici- an all-time high of $207.26 officials have said the IPO Apple's survival remained in
tion, the investment would pation mounts for the next before falling back slightly. would value Saudi Aramco, doubt.
be worth about $2.6 million generation of iPhone, ex- The shares are up around as the company is often Cook's hiring may have
now. pected to be released in 22 percent so far this year. called, at about $2 trillion. been one of the best things
Jobs eventually introduced September. Another company, Sau- But until the IPO is complet- Jobs did for Apple. q

Average US mortgage rates rise;

30-year at 4.60 percent

Associated Press this week from 4.02 percent loans.
WASHINGTON (AP) — Long- last week. To calculate average mort-
term U.S. mortgage rates Higher mortgage rates gage rates, Freddie Mac
rose for the second straight combined with steadily ris- surveys lenders across the
week, continuing to damp- ing home prices have re- country between Monday
en prospects for potential strained home sales this and Wednesday each
homebuyers. summer despite the robust week.
Mortgage buyer Fred- economy and job market. The average doesn't in-
die Mac said Thursday The Federal Reserve on clude extra fees, known as
the average rate on 30- Wednesday left its key in- points, which most borrow- In this July 9, 2018, file photo, a for sale sign stands outside a
year, fixed-rate mortgages terest rate unchanged but ers must pay to get the low- pre-existing home, in Walpole, Mass.
jumped to 4.60 percent this signaled further gradual est rates. Associated Press
week from 4.54 percent last rate hikes in the months The average fee on 30-
week. ahead as long as the econ- year fixed-rate mortgages
Long-term loan rates have omy stays healthy. declined to 0.4 point from
been running at their high- As prices for U.S. Treasury 0.5 point last week.
est levels in seven years. bonds have dropped, the The fee on 15-year mort-
The average benchmark yield on the benchmark gages was unchanged at
30-year rate reached a 10-year note rose to 3 per- 0.4 point.
high this year of 4.66 per- cent this week for the first The average rate for five-
cent on May 24. By con- time since mid-June. The year adjustable-rate mort-
trast, the rate stood at 3.93 rate was at 2.99 percent gages rose to 3.93 per-
percent a year ago. Thursday morning. Higher cent from 3.87 percent last
The average rate on 15- yields on Treasurys tend to week. The fee dropped to
year, fixed-rate loans in- push interest rates higher 0.2 point from 0.4 point.q
creased to 4.08 percent on mortgages and other