Top

OPEC’s talks on curbing oil production come to nothing

April 19, 2016

Category:

BETS that Brent crude would continue to rally were at their highest level since 2011, according to Deutsche Bank, when news came on April 17th of the collapse of talks in Qatar aimed at freezing output.

The can-do prognoses that had preceded the meeting had beguiled speculators, who were caught out when it became clear that Saudi Arabia, Russia and others could not in fact agree on measures to curb supply, prompting the Brent price to slide to below $42 a barrel on April 18th. The scramble to unwind loss-making derivative trades may only exacerbate the fall in the coming days.

Read More on The Economist