The Doha collapse

Saudi-Iranian rivalry has thwarted an oil-supply deal, just as the price recovery was gathering momentum

Forget the freeze: the Russian effort to cajole Opec’s big producers into even the most benign form of supply-side management to support prices is now over. The collapse of the Doha deal on 17 April will destroy the fragile trust between major producers and could prompt a new wave of supply into a glutted market. Bullish oil-market sentiment had been building in recent weeks, supporting a price recovery that had taken Brent from under $38 a barrel to almost $45/b. Fifty-dollar oil was in sight: all the Doha delegates needed to do was talk calmly and sprinkle some more dust on the rally. They failed. The meeting went badly. The Russian energy minister, Alexander Novak, believed he was in Doha