6 nations cut diplomatic ties to Qatar as Gulf rift deepens

Six nations cut diplomatic ties to Qatar on Monday, further deepening a rift among Gulf Arab nations over that country's support for Islamist groups and its relations with Iran.

Qatar's Emir Sheikh Tamim bin Hamad Al-Thani attends a Gulf Cooperation Council summit in Doha, Qatar, Dec. 9, 2014. [File Photo: AP/Osama Faisal]

Libya, Yemen, Bahrain, Egypt, Saudi Arabia and the United Arab Emirates all announced they would withdraw their diplomatic staff from Qatar, a gas-rich nation that will host the 2022 FIFA World Cup and is home to a major U.S. military base. Saudi Arabia also said Qatari troops would be pulled from the ongoing war in Yemen.

The countries also were ejecting Qatar's diplomats from their territories. The Qatari government has not responded to the severing of diplomatic ties, though it has previously denied funding extremist groups.

All the nations also said they planned to cut air and sea traffic. Saudi Arabia said it also would shut its land border with Qatar, effectively cutting off the country from the rest of the Arabian Peninsula.

Following the decisions by the six countries to cut diplomatic ties with Qatar, the price of oil gained over 1 percent while stock prices in the region retreated across the board.

Markets reacted to the escalation of the diplomatic row in the Gulf region and sent the price of oil 1.04 percent higher to 50.47 U.S. dollars per barrel.

In Doha, the Qatar Exchange Index plummeted 7.94 percent to hit 9,135, marking an 18-month low.