FIRST AIRED: June 29, 2017

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>> The squabble in the Gulf is getting uglier. Qatar says an ultimatum issued by its neighbors is impossible to meet. Saudi Arabia, Egypt, Bahrain, and the UAE handed Qatar a list of demands and the deadline's on Sunday. They broke off ties with Doha for supposedly supporting terrorism, and getting too cozy with Iran.
Now camels are among the few things crossing the deserted Qatar border. And Reuter's breaking views Andy Critchlow says, a peaceful resolution looks increasingly unlikely.>> On balance, there's only one or two demands out of this long list that I could see the Qataries being prepared to actually do.
Paying economic reparations to Saudi Arabia and the UAE for the disruption that's been caused by this dispute. I really can't Qatar agreeing to that. Several ties with Iran, well the servers would say they have very few ties anyway with Iran, but they do talk to the Iranians because they share the world's largest gas field.
>> But some demands Qatar could agree to, like shutting down Al Jazeera. Or cutting support for groups like the Muslim Brotherhood. Turkey has backed Dohar, while Kuwait tries to medicate. But economics sanctions on Qatar remain in place. The question now, what happens if the deadline this weekend isn't met?
>> The worse case scenario obviously is that this escalates to military action. While the US has a big military base in Qatar, but so do other nations. Turkey's deployed troops there. You have some sort of a military buildup in the region now that could light a fire>> Oil supplies are also on the line if the deadline expires.
Markets have remained surprisingly calm, but the region provides a quarter of the world's crude, and a violent escalation in the dispute will be hard to ignore.