See crude in $120-150/bbl range for nxt 6 mnths: Robert Hsu

Robert Hsu, President, Absolute Return Capital Advisors said that crude will trade in the USD 120-150 per barrel range for the next six months.  

Hsu feels that oil will probably go to USD 200 per barrel because at this level and higher, is when the alternative energy sources start to make economic sense. He said that below USD 200 lot of alternative energy sources like solar, wind power do not make a lot of economic sense and require heavy government subsidy.

Excerpts from CNBC-TV18's exclusive interview with Robert Hsu:

Q: What’s your perspective right now? Are we are close to the bottom that markets across the globe are witnessing right now?

A: We are in a sideways type market and we are closer to the bottom of the range than the top of the range.  

Q: With concerns on global commodities of course we have seen crude sliding down a bit and having a bit of flip-flop here and there. What’s the outlook on that specific commodity and the impact that would have on markets going ahead for the next six months?

A: We are in a trading range in crude oil right now between USD 120-150 per barrel and that will probably continue for the next six months or so.  

Q: There are figures anywhere between on the higher side crude probably going to USD 200 and on the lower side going to sub USD 100. Do you think that’s a possibility at least in the near-term?

A: Oil will probably go to USD 200 because at this level and higher is when the alternative energy sources start to make economic sense. Below USD 200 a lot of alternative energy sources like solar, wind power they do not make a lot of economic sense and requires heavy government subsidy.

Q: Amongst the emerging markets economies which one are you most bullish on at this point in time and where are you looking to make investments?