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Finance: Investment ideals for new oil and gas realities

· May 21, 2015 ·

PHUKET: Late last year, legendary oil and gas entrepreneur Thomas Boone Pickens said during a CNBC interview: “Energy is cheap in America. We still have the cheapest energy in the world…Take advantage of it, play the demand side.” Since then, Pickens has repeatedly stated in public appearances that he believes oil will rise to US$70 a barrel this year and to $90 a barrel next year, as domestic United States inventories have reached their highest levels ever and are starting to be drawn down. My own technical charts are showing an energy sector that’s bottoming as oil moves off a sound technical bottom and prices are already higher after hitting a six-year low in March. Moreover, oil production in the US has declined due to those six-year lows while bankers there remain nervous about extending credit in the oil patches for more capital investments or drilling. On the other hand, and while the US oil market is becoming more balanced between supply and demand as well as … [Read more...] about Finance: Investment ideals for new oil and gas realities

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