Egypt's President Morsi annuls dissolution of parliament: MENA

"President Morsi has issued a presidential decree annulling the decision taken on June 15, 2012 to dissolve the people's assembly, and invites the chamber to convene again and to exercise its prerogatives," MENA said.

President Mohamed Morsi issued a decree Sunday afternoon ordering the dissolved People's Assembly (the lower house of Egypt's parliament) to resume its legislative activities. He also called for fresh parliamentary polls to be held within 60 days of the ratification of a new national constitution,according to Al Ahram.

The assembly will practice its full legislative and regulatory responsibilities as soon as it reconvenes, which is expected "within hours," assembly speaker Saad El-Katatni declared in a statement issued early Sunday evening.

Field Marshal Tantawi and the Supreme Armed Forces Council (SCAF) were said to be  holding an emergency meeting to consider the President's decree and  a confrontation with SCAF looks probable.