Pickens Reverses Position to Bet on Higher Oil Prices
Boone Pickens, a billionaire energy investor, said he reversed course and is betting the price of crude oil will rise.
Pickens, 79, the founder and chairman of Dallas-based BP Capital LLC, said today in a speech at Georgetown University that the price of crude will only continue to climb and demand will eventually be dampened.
``The position is long, not short,'' Pickens told reporters after his speech. ``I covered the short position, it was a mistake on my part. We missed.''
Crude oil futures in New York touched $115.54 a barrel today, the highest intraday price since trading began in 1983.
Investors looking for higher returns have flocked to commodities. Oil in New York surged 82 percent over the past year as the Standard & Poor's 500 Index dropped 7.4 percent and the Dow Jones Industrial Average declined 1.2 percent.
Pickens said he thought oil was approaching $125 a barrel. Oil will eventually reach $150 per barrel, he said, while cautioning ``I won't be investing in $150 oil.''>>>MORE