Global brent crude fell 41 cents to $105.35 a barrel from a two-week high on Thursday as the threat of a disruption in supplies from the Middle East eased after Egyptians ousted their Islamist president Brent crude slipped from a two-week high on Thursday as the threat of a disruption in supplies from the Middle East eased after Egypt's armed forces toppled the country's president to force a resolution to a political crisis there. Egypt has been facing mass demonstrations since June 30 by opposition calling for the resignation of Islamist President Mohamed Morsi and his supporters. But the Suez Canal, a key waterway for oil shipments and vital to Egypt's struggling economy, has been unaffected by the uprising. "There is no sign of supply disruption," said Tetsu Emori, a commodities fund manager at Astmax Investments in Tokyo. "People are thinking about the potential impact on oil supply in the Middle East if there is turmoil in other countries." Brent crude fell 41 cents to $105.35 a barrel by 06:44 GMT, after settling at its highest since June 19 on Wednesday. U.S. crude edged down 17 cents to $101.07, coming off a 14-month peak of $102.18 hit in the prior session. "We should see prices retreat," said Jonathan Barratt, chief executive of Sydney-based commodity research firm Barratt's Bulletin. There should be more downward pressure on Brent than West Texas Intermediate (WTI) crude as worries about Middle East oil supply disruption recede, and that could narrow the price gap between the two benchmarks, he added. Brent's premium to U.S. crude hit its narrowest since December 2010 on Wednesday. WTI crude received a boost after U.S. weekly inventory data showed that stockpiles fell by more than 10 million barrels, the biggest drop for this time of year in nearly 13 years. Gasoline and distillates stockpiles also fell against forecasts for increases. Traders are now waiting for the non-farm payrolls data from the United States on Friday for affirmation that recovery at the world's largest economy is on track. The data could also provide some indication on when the U.S. Federal Reserve could start rolling back its bond-buying programme and tighten global liquidity. Oil trading on the CME Group's New York Mercantile Exchange is closed on Thursday in observance of the U.S. Independence Day holiday and electronic trading resumes at 6 p.m. for Friday July 5. http://english.ahram.org.eg/News/75688.aspx
