"If you look at the fourth-quarter projection for oil, that's 90 million barrels a day globally, and I don't think the world can produce more than 88 million," Pickens said in an interview from Los Angeles with Willow Bay and Lisa Murphy on Bloomberg Television's "Fast Forward."

For now, funds are probably still trimming bets on higher commodity prices. Net-long positions held by managed-money funds fell 2.4% to 1.45 million futures and options in the week ended May 3, Commodity Futures Trading Commission data show. They reached a record 1.56 million contracts in October.

Open interest in 17 of 19 commodities tracked by the Thomson Reuters/Jefferies CRB Index dropped 0.6% to 8.15 million contracts, data from the CFTC show. That compares with an all-time high of 8.6 million on Feb. 18.

"I don't think the commodities boom is over," said Robbert Van Batenburg, an analyst at Louis Capital Markets in New York, who correctly predicted a 2007 rebound in oil. "We may see a pause in the rally, and that's OK. Past the summer doldrums, I think the rally picks up where we left off."

 

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