2 February 2011, 18:10  Oil turns lower

Oil turned lower in Asian trade today, but Brent crude stayed above $101 a barrel as the unrest in Egypt continued to weigh down investor mood. Brent North Sea crude for March eased 10 cents to $101.64. New York's main contract, light sweet crude for March delivery was down 18 cents at $90.59,erasing earlier gains as investors took some profit. The turmoil in Egypt, where massive protests are demanding the ouster of President Hosni Mubarak, had been fuelling price rises because of fears of supply disruptions. While Egypt is not a major crude producer, the country is home to the crucial Suez Canal, which carries about 2.4 million barrels of oil a day - roughly equivalent to the daily output of Iraq or Brazil. Brent crude soared to an intraday high of $102.08 yesterday, its highest since late September 2008, at the beginning of the financial crisis. Over one million people took part in anti-government demonstrations across Egypt yesterday, the eighth day of protests aimed at unseating Mubarak. The angry revolt - in which an estimated 300 people have died and more than 3,000 injured - has sent jitters throughout the Middle East. Investors are concerned that similar demonstrations could spread elsewhere in the oil-rich region. Protests in Tunisia have already seen the removal of the president there.

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