Pierre Andurand suffers heavy losses following the recent oil rout in crude prices.

Oil hedge fund giant, Pierre Andurand who manages the world’s largest oil fund Andurand Commodities Fund, predicted oil prices would reach 100 USD. But the market has proved Pierre Andurand wrong and the world’s largest oil trader is now holding the losing side of the trade.

“Pierre Andurand’s $1bn Andurand Commodities Fund hemorrhaging 20.9% in that month alone leaving the fund in the red by 12% for the year”

RAY DALIO

Pierre Andurand suffers heavy losses with November being particularly painful for the high profile oil trader

His $1bn Andurand Commodities Fund hemorrhaging 20.9% in that month alone leaving the fund in the red by 12% for the year.

Pierre Andurand suffers heavy losses due to a dramatic turn around in the price of oil since October, as fears of another oil glut flooding the crude market which has sent crude prices into a bear market.

Moreover, Opec countries have recently come under pressure from US President Trump to lower fuel prices by boosting production.

Saudi Arabia, a major Opec country has bowed to pressure to increase production following Trump’s address to the United Nations where the US President slams OPEC for “ripping off the rest of the world. “We are not going to put up with these higher oil prices for much longer” US President Trump.

“We are not going to put up with these higher oil prices for much longer”

US President Trump

So Pierre Andurand suffers heavy losses in the wake of massive bullish oil bets. Pierre Andurand earlier in the year wrongly forecasted that crude oil would spiral to 100 USD.

A spokesman for Andurand declined to comment on the performance of the fund. Pierre Andurand is one the world’s best-known billionaire oil traders, who in September 2015, correctly forecasted that crude would slump to between $25 and $30. Five months after Andurand’s call crude did slump from between $25 and $30.

“often politics and not economics that determines the price of oil”

Pierre Andurand suffers heavy losses underscores just how tricky forecasting oil prices can be

There are many moving parts, the mismatch of supply and demand and geopolitics/politics all play a role in determining oil prices. As we wrote in a previous piece, entitled Pierre Andurand’s losses widen, that it is “often politics and not economics that determines the price of oil”.

So it is political/geopolitical uncertainty that is the wild card for predicting oil prices

Pierre Andurand suffers heavy losses but it is not the first time the oil trader has taken a whack. His previous fund closed shop in 2012.  So will Pierre Andurand throw in the towel again and be hit by redemptions?

Years of choppy, often falling markets have shut commodities funds such as the Astenbeck Capital Management, Armajaro Asset Management, Clive Capital, Centaurus Capital, and Brevan Howard.

Pierre Andurand suffers heavy loss is an evolving story.

TRADING SOFTWARE

Dan Loeb targets Sony. Dan Loeb is an activist investor and founder of Third Point, which oversees about $14.5 billion in assets.

Last year the activist investor viewed Campbell soup as a bargain when Third point reported that the soup maker could fetch a takeover value of $52 to $58 per share.

A year later and the activist investor Dan Loeb targets Sony

Dan Loeb's activist hedge fund Third Point is raising an investment vehicle to generate between $500 million and $1 billion so it can continue to buy Sony shares, according to a recent report in Reuters.