Pickens: Oil Going to Remain Above $100 a Barrel
The oil patch's most famous investor admits he got it wrong.
Just weeks after predicting an imminent slide in oil prices, Boone Pickens now sees the price of a barrel of oil holding around $100 for the rest of the year.
"I thought oil in the second quarter could come off $10, but I don't think that's going to happen," he told CNBC's "The Call.""In the second half, you're going to see oil above $100."
Pickens sees it as a matter of supply and demand.
"Demand is off, but supply is still 85 million barrels a day, globally," he explained. "You've got the Chinese and other markets around the world that want the oil, need the oil, and demand's going up and you're still capped off at 85 million supply."
U.S. crude futures hit a record $111.80 last Monday, but have dropped steeply since then, and dropped below $100 on Tuesday morning.
Pickens thinks it's a mistake to follow daily price changes too closely.