David Tepper's Concerned About Middle East Risks (#Oil #SaudiArabia)

Institutional Investor had an interesting story on David Tepper yesterday, the founder of hedge fund Appaloosa Management (hat tip Pragmatic Capitalist). He's still bullish on the U.S. economy, but is concerned that political unrest could spread to the Middle East, mainly Saudi Arabia, and disrupt oil supplies. That makes sense. There's a "day of rage" protest planned for March 11 (Tehran Times). Or it's postponed until Monday (UPI). From Institutional Investor:

"Even so, Tepper has reduced his risk somewhat in response to recent global political developments. He has taken down his P/E estimate from 15 to 14 1/2 times and at the beginning of March removed all leverage."

"However, he is seemingly most concerned about developments in the Middle East. Tepper is said to be especially concerned about Saudi Arabia. Sources say if the oil fields in Saudi Arabia are burning, Tepper would react to that by selling and going heavily into cash."

Recent interviews from CNBC on blog:

Tepper: Dean Foods Undervalued, Cautious and Optimistic on Stocks (DF, SPY) CNBC Video 1/26/2011

David Tepper's Bullish Bet on the Fed's Economic Put (QE2-3-4) CNBC Video that sparked "Tepper Rally", 9/24/2010

Recent post on Saudi Arabia:

Libya Unrest, Saudis Protest Arrest of Sheikh Tawfiq Al-Amer (Videos, *Live #Libya and #SaudiArabia Twitter Search Widgets) 3/4/2011