T. Boone Pickens came on CNBC this morning, and he was much more somber than in his prior appearances. When your fund is said to be down somewhere around $2 billion and facing major redemption waves, that can happen.
As far as what he is doing now, "We are out of the market and have been for several weeks."
He said he is mostly in cash and will come back, and he is in no rush.He said the fund will allow investors to get out of the fund if theywant. Pickens also said he will be ready to get back into the marketon November 1, but doesn’t know if he’ll invest then. The fund will becut down to about $500 million.
On oil prices and the old highs, "We’ll go back up again…." He thinks2009 may be a rough year but oil could go back up to $100 in 2009. Hedoesn’t believe oil companies will fold, but you could seeconsolidation in a few months or so. He said he wouldn’t name anycompanies which may consolidate now that the companies are half oftheir former size.
On Exxon Mobil, he said he doesn’t know why they do not raise the dividend.
This morning’s Pickens was a far different Pickens than when his oilcalls were part of the major bull move when oil ran from under $50 to$80, then to $100, then to $120, and ultimately north of $140….
He said he has signed up 1.5 million people for the Pickens Plan.
Jon C. Ogg
October 30, 2008
Is Your Money Earning the Best Possible Rate? (Sponsor)
Let’s face it: If your money is just sitting in a checking account, you’re losing value every single day. With most checking accounts offering little to no interest, the cash you worked so hard to save is gradually being eroded by inflation.
However, by moving that money into a high-yield savings account, you can put your cash to work, growing steadily with little to no effort on your part. In just a few clicks, you can set up a high-yield savings account and start earning interest immediately.
There are plenty of reputable banks and online platforms that offer competitive rates, and many of them come with zero fees and no minimum balance requirements. Click here to see if you’re earning the best possible rate on your money!
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
