Qatar's riyal fell further against the U.S. dollar in the offshore forwards market early on Friday because of concern about capital outflows due to the diplomatic crisis hitting the country.

President Tayyip Erdogan has approved legislation on deploying Turkish troops in Qatar, signaling support for the Gulf state as it faces isolation imposed by fellow Arab states over its alleged support for terrorism.

When 31-year-old Ali Al-Mohanadi heard Saudi Arabia, the United Arab Emirates and other nations were cutting ties and severing all transport links with his home country Qatar, he emptied the back of his Land Cruiser SUV and drove to a nearby supermarket.

Qatar vowed on Thursday to ride out the isolation imposed on it by fellow Arab states over its alleged support for terrorism and said it would not compromise its sovereignty over foreign policy to resolve the region's biggest diplomatic crisis in years.

Egypt and Bahrain kept up pressure on Qatar on Thursday, giving no indication after talks in Cairo between their leaders that they were ready to soften their stance on the diplomatic crisis in the Gulf.

According to a report by Arabic CNN Wednesday, US officials have said they have observed increased Qatari military activity as the country placed its forces “on the highest state of alert” over fears of an imminent military incursion.

In a striking statement, two days after a less provoking statement, Bahrain's Crown Prince Salman bin Hamad al-Khalifa said that the withdrawal of ambassadors was directed against the conduct of the Qatari leadership.

Britain's spokesman for the Middle East and North Africa, Edwin Samuel, said that his country hopes a solution is reached soon, and that the (GCC) regains its unity, after states have severed ties with Qatar over claims of supporting terrorism.

Bahraini King Hamad bin Isa Al Khalifa said his country had suffered from interference coming from both Qatar and Iran, which “extend several centuries.”

Abu Dhabi Petroleum Ports Authority will deny entry to any ships carrying cargoes going to or from Qatar, two shipping circulars seen by Reuters on Thursday showed.

Qatar's central bank has asked commercial banks to provide it with detailed, frequent information on their foreign exchange trading, deposit withdrawals and money transfers, banking sources told Reuters on Thursday.

The Bahraini Ministry of Interior warned all residents of its country of prison and fining punishment for any sign of sympathy with Qatar, or rejection to the Bahraini government’s measures.

Qatar's credit quality would decline if tensions with its Gulf neighbors continue for much longer, raising the country's debt ratio and hurting banks' liquidity, Moody's ratings agency said on Thursday.

Qatari armed forces that had been stationed in Saudi Arabia as part of the Saudi-led coalition fighting the Iran-aligned Houthis in Yemen returned home on Wednesday, state television reported on its Twitter account.

Prices of Qatari credit default swaps, used to insure against the risk of a sovereign debt default, rose sharply early on Thursday after the country's credit rating was downgraded because of its diplomatic rift with other Gulf states.

U.S. President Donald Trump spoke with the emir of Qatar on Wednesday and offered help in resolving the diplomatic crisis with its Arab neighbors, including a White House meeting, the White House said.

Bahrain's foreign minister said he appreciated Kuwaiti mediation to resolve an Arab row with Qatar, the Saudi newspaper Mecca reported on Wednesday, but that all options were open for his country to protect itself from Doha.

The official Jordanian News Agency (Petra) said on Tuesday (June 6, 2017) that Jordan decided to downgrade its diplomatic representation and withdraw the license of Al Jazeera channel in the Kingdom.in Qatar, after Saudi Arabia, the UAE, Egypt and Bahrain severed on Monday all ties with Qatar, accusing it of supporting terrorism.

A senior United Arab Emirates (UAE) official said Wednesday that more punitive measures on Qatar, including further curbs on business, remain on the table in a dispute with its powerful Arab neighbors.

Egypt’s Al-Azhar, the Sunni Muslim world’s foremost Islamic institution, has commended the joint move of Egypt, Saudi Arabia, United Arab Emirates and Bahrain to isolate their Arab neighbor, Qatar, over accusations of supporting terror and backing Iran.