Elon Musk regained his status as the world’s richest man after briefly losing the title to Frenchman Bernard Arnault, according to Bloomberg news agency.

Musk’s wealth has been boosted by a nearly 70 percent rise in the value of Tesla Inc shares this year. It is up about 100% from the January 6 intraday low as investors returned to riskier stocks amid signs of a stronger economy and a slower Fed rate hike.

The company has also benefited from increased demand for its electric vehicles after lowering the prices of several models.

Tesla shares rose 5.5% to $207.63 in New York on Monday, boosting Musk’s net worth to $187.1 billion, according to the Bloomberg Billionaires Index. That’s more than the $185.3 billion personal fortune of Mr. Arnault, the 73-year-old French tycoon behind luxury electronics maker LVMH.

Musk, 51, entered 2023 with a net worth of $137 billion, becoming the first person to lose $200 billion of his fortune and raising the possibility that it will be difficult for him to regain the title of the richest man in the world. He was ousted from the top of the Bloomberg Welfare Index for more than two months after a sharp drop in Tesla, of which he is an executive director.

Tesla investors are concerned that Mr Musk is paying too much attention to Twitter, which he acquired in October as his electric car maker faced stiff competition in the industry.

But as Tom Narayan, an analyst at RBC Capital Markets, said in a report, Tesla’s price cuts have boosted demand for cars, and the company is at the forefront of electric vehicles.

“We believe that there is strong demand for Tesla products even with increased competition in electric vehicles,” Mr. Narayan wrote.

Source: Bloomerg