The Egyptian crisis turned violent overnight as five people died in clashes between pro and anti Mubarak protestors. Some 836 people were taken to hospital according to the Egyptian government. Local television stations were reporting that the violence was sparked by the pro-Mubarak supporters. Meanwhile anti-Mubarak protestors were calling on the army to intervene. The violence caused the price of oil to rise again past $103 a barrel. The price of four-month brent oil has now risen a full $8 since the Middle East crisis reached Egypt on 25 January. The price rise reflects ongoing concerns that the crisis could choke off the supply of oil through the Suez Canal. Ben Westmore, an analyst at National Australia Bank told Reuters: 'The chance of contagion to a country that is systemically important to oil markets still remains relatively low, but it's the combination of that possibility and the importance of oil flows from the Red Sea to the Mediterranean through the Suez Canal that is building a premium.' The gold price also rose overnight in Asia, an indication that if violence escalates further it is likely to lead to some level of retreat from risk-assets from investors. The response overnight from stockmarkets though was only muted with the Nikkei 300 index easing some 118.23 points, a drop of 0.25%.

Source