Steve Cohen Bullish on Energy Stocks
First of all, Cohen thinks that the commodities sell off last week created a good entry point to buy energy stocks that have exposure to natural gas and coal.
In a previous interview in February 2011, Steve Cohen revealed that his two top stock picks were Williams Companies (WMB) and Plains Exploration (PXP).
In his latest SEC filing, Cohen's largest energy holding was Plains Exploration (PXP). With 9.03 million shares it comprised 2.35% of his portfolio. Cohen has previously disclosed that his fund owns Murphy Oil Corp. (MUR) that has a weighting of 0.52% in his portfolio. It will be interesting to see if Cohen has added to these two positions on the recent commodity pullback.
Currently he thinks that the market is experiencing a growth scare because QE2 is scheduled to end on June 30.
Cohen is not particularly concerned about the markets for the rest of 2011 because he sees growth at 4%. However, Cohen becomes cautious for 2012 because government aid programs will come to a stop.
The legendary hedge fund manager is also more focused on macro themes rather than stock picking. Cohen is now making big bets on currencies, interest rates and commodities.