again, yemen, the classic proxy war between saudi arabia and iran. ria where the war grinds on and on and on, iran back president bashar al-assad and saudis backing the rebels. it seems as if the conflict in yemen and the conflict in syria there's no way there's going to be any kind of negotiated truce any time soon. >> mohammed jamjoom. thanks. >>> coming up why that country could be america or one of america's biggest rivals. after "on target" at 9:30 eastern. saudi arabia like iran is a major source of military and financial assistance to warring parties beyond its borders. from syria to yemen, the saudis are aggressively pushing their own agenda in the middle east. the old politics of working behind the scenes may be a thing of the past. saudi arabia's execution of a prominent muslim cleric, a shia clearic has ignited a diplomatic break with the iranians, one thing is clear, saudi arabia has under the stakes in a region that has become increasingly volatile. stephen sesh, executive vice president of arab gulf states in washington, funded by saudi

again, yemen, the classic proxy war between saudi arabia and iran. syria where the war grinds on and on and on, iran back president bashar al-assad and saudis backing the rebels. it seems as if the conflict in yemen and the conflict in syria there's no way there's going to be any kind of negotiated truce any time soon. >> mohammed jamjoom. thanks. >>> coming up why that country could be america or one of america's biggest rivals. >> welcome to al jazeera america. more reporters, more stories, more perspective. >> from our award-winning news teams across america and beyond. >> we've got global news covered. when you're on hold, your business is on hold. that's why comcast business doesn't leave you there. when you call, a small business expert will answer you in about 30 seconds. no annoying hold music. just a real person, real fast. whenever you need them. so your business can get back to business. sounds like my ride's ready. don't get stuck on hold. reach an expert fast. comcast business. built for business. saudi arabia like iran is a major source

we are arab leaders expressing support to saudi arabia. the arab league is a bigger, larger organization, including iraq and lebanon. why was it important for saudi arabia to get the support of the arab league? >> i think that the objective is trying to generalize this feeling of threat perception from iran to all the arab world, not only in the gulf region, but on the arab -- the whole arab world. i think it's clear from their responses from the questions that they want to have a joint front against iranian intervention meddling in -- >> how strong of a joint front, when you have countries like lebanon, like iraq within this organization and many other countries in fact like tunisia and algeria which expressed caution in this escalating dispute? >> this is the point. i don't think that the saudis were effective enough in order to get the responses they wanted from the arab countries, not even from the g.c.c. i think they expected more countries to cut relations with iran but we hear very clearly that even the emirates were justifying that

saudi arabia is adamant he got a fair trial. it's not the first time diplomatic relations have been cut, but there are fears it could cause more violence. in an incident in eastern saudi, the official saudi press agency reported that one man had been killed and a child was injured. the brother has said he is being told the cleric will be buried in an indoes -- undisclosed location. >>> iran and saudi arabia are of course key players in the middle east, this dispute could complicate efforts to end the wars in syria and yemen. james bayes has more from the u.n. >> reporter: relations between these two heavyweights in the middle east have always been strained, but they are now at a new low, and that's why ban ki-moon has been working the phones, speaking to iran's foreign minister, and then to the foreign minister of saudi arabia. details of the second call were given. >> the secretary general reiterated his views on capital punishment and the execution of the cleric who's case the secretary general has raised with saudi authorities

we begin this evening looking at the implications of the conflict between saudi arabia and iran. we talked to philip gordon, wendy sherman, vali nasr and david sanger. >> i think we're reaching a point that we need to get tough with the saudis, and we actually have to assert more united states interest in iraq and syria vis-a-vis i.s.i.s. and to demand to the saudis like we demand of many other allies around the world that they cannot wreck our policies and we have certain expectations of them. >> rose: we conclude this evening with the director of the film "carol," todd haynes. >> it reminded me of, maybe in ways i hadn't been reminded in years, what it feels like to be falling in love with somebody, to be in the dark, to not know where you stand, to be reading the signs, you know, that the other person is giving you and trying to discern your fate or whether this is going to happen. and so i think there is just something beyond the fact that it's a lesbian love story set at this very specific time. historically, it reminds you about being in love and the vulnerability of that po

powers, iran, and saudi arabia. threatens a region that's already inflamed. saudi insider is live with us. and here the former british foreign secretary jack straw tells me the severing of ties is a serious blow to the fight against isis. >> it will make cooperation, which is essential, against isis and the jiedists and other extreme groups difficult. >> also ahead, a new year and year of change in china. the new two-child policy. >> good evening, everyone. and welcome to the program. we're in london. if anyone thought this new year would bring new hope for peace in the middle east, the dramatic escalation of the cold war between saudi arabia and iran could derail that possibility. sunni, saudi arabia, followed by bahrain and sudan have severed ties, and the uae has downgraded relations. they accused someone of terrorism after which a few dozen extremists stormed in tehran. the arrest was ordered of those responsible, and saudi arabia says it's severing all ties with tehran. >> we decided to cut off all diplomatic relations with iran and also all air traffic t

what i would say about that is saudi arabia understands that saudi arabia is a threat to saudi arabia. in many ways their a partner with us in the intelligence world -- harlie: even though it's sunni /sunni. phillip: isis threatens the kingdom. the problem is it's not their top priorities. the problem is we rank them differently. for the saudis iran is the top three. theand you get sad -- theand you get assad because of iran and then you get isis. so when they look at what they're doing, sure they want to fight against isis. they're more tolerant because they're fighting assad and they're fighting iran. and so that should be -- that's the problem is that it's just noss at the top of -- not at the top of the priority list. charlie: good and say what you had to say. then my question is are we seeing between the american foreign policy whether it's the national security council or the state department or even the pentagon competing factions as to what we ought to be doing having to do with this crisis? -- >> let me follow-up on what phil said. i think it's true that saudi arabia is very

this is a strategy of survival on the part of saudi arabia. serves their interest, it does not serve united states interest. mean we have this less a relationship with the saudi's than we thought they did. they clearly knew that saudi's were thinking about this, did they not? the united states government has warned out right s aboutey warned the saudi' the potential execution of zimmer. not only was that warned, but after the executions happened, the u.s. embassy in riyadh had a difficult time getting an understanding from the saudi's about who had been executed. this is not exactly a system in which communication is moving very smoothly with the united states. that could be because they were trying to keep the u.s. in the dark. it could also be that these executions got caught up, and we , got know the answer caught up in the succession battles that phil was referring to. we have a very different relation of saudi leaders coming up. wendy: the internal politics in both these countries are very complex right now, and they are all taking place

on sunday, saudi arabia responded by severing ties with iran. this is saudi foreign minister adel al-jubeir. >> the kingdom, and light of the israelis, announces the cutting of diplomatic relations with iran and requests the departure of delegates, diplomatic missions, the embassy and related toand others it within 48-hour's. the ambassador has been summoned to notify them. we are determined not to allow iran to undermine our security. we're determined not to let you mobilize or create or establish terrorist cells in our country or in the countries are allies. amy: saudi arabia has now recalled its diplomats from tehran, and given iranian diplomats 48 hours to leave the country. this is iranian supreme leader ayatollah ali khamenei. >> killing a knowledgeable man who promoted virtue prevented -- and had religious zeal is certainly a crime, a great crime. it is also a mistake because this build blood will undoubtedly bring divine retribution. amy: saudi arabia's execution also led to protests in iraq, bahrain, and several other countries. bahrain

to saudi arabia. arabia. they're saying is there any they're saying is there any difference - compares. difference - compares. this graphic is fraught with this graphic is fraught with irony and contradiction. irony and contradiction. is it a valid question and is it is it a valid question and is it a valid question coming from eye a valid question coming from eye reason that puts more people to reason that puts more people to dpeth per capita than anyone dpeth per capita than anyone else in the world? else in the world? >> putting aside the messenger, >> putting aside the messenger, i think disturbing and troubling i think disturbing and troubling to the extent that a lot of to the extent that a lot of behaviour saudi arabia models is behaviour saudi arabia models is exactly where i.s.i.l. and exactly where i.s.i.l. and al-qaeda define inspiration. al-qaeda define inspiration. the notion that you should the notion that you should commit violence against commit violence against journalists and subject them to

it is a dilemma but saudi arabia said that and not only saudi arabia.ve other muslims, other abrag arab countries with us and the international war talks about bringing peace to the region and they must understand what is going on in the region. it is a fight for freedom. a fight between people who want their freedom and a sectarian view of iran. >> reporter: thank you very much indeed, jamal and some breaking news just in, we just heard that bahrain has announced that it is cutting its diplomatic ties with iran so following in the footsteps of saudi arabia and breaking diplomatic ties with tehran. now members of syria's opposition as we've already mentioned a meeting in the saudi capitol riyadh and trying to agree on who exactly will take part in talks with president assad's government. those talks are due to take place two weeks time and staffan de mistura is expected to meet the opposition members. now yemeni government forces announced a curfew in the southern city of aiden and will start at 17grenich monday and last until early tuesday morning and

saudi arabia flies planes, uses weapons, etc, it is clear to kingdom of saudi arabia, the king and princes that obama is moving away from the middle east and the united states, i believe statistics are total amount of oil that we consume in october of last year, came from saudi arabia, less than 6% of our total consumption of oil, the whole persian gulf was only 9%. we don't need their oil anymore, we can walk away and when you look at our budget and the wars we fought there since 2001, a lot of those wars have to do course. whose side is saudi on? >> there is two sides, kingdom the government and rest of the population. >> that is right. >> they are not the same thing. was part of demonstrations for more democracy, he's not anti-sunni, he's saudi. he is saudi of shia belief. he wants shias and saudis to work together. he was in bahrain and eastern provence of saudi arabia. >> when you say, we have a minute left, you say we're not buying that much oil from saudi arabia and middle east in general, but really oil is a world commodity. >> absolutely. >> everything goes into the pot and gets w

inside saudi arabia. the reality of what we are seeing here is a ratcheting up of already significant tensions between the two countries. in yemen, saudi arabia and iran are fighting a proxy war. fighting a proxy war in syria as well. they have extreme protests over interests in saudi arabia and to iraq to the north of saudi arabia. this is another dimension to an escalating situation that fuels tensions in the regions. certainly puts the hopes and likelihood of getting a peaceful solution up and running this year in syria. makes that a more distant prospect. >> nic, a dramatic development. no question. wonders what type of internal pressures saudi arabia is under. you wonder the execution of the shi'a cleric, you wonder what the goal was and maybe they miscalculated the reaction in the broader midwest. >> reporter: i don't think they are miscalculating this. they have a new king. we wonder what the new king would be like. he is more robust. saudi arabia believes it is a stronger military and diplomatic f

needs to rethink its relationship with saudi arabia. you have heard that? ke: yes, and the saudis hear this. charlie: help us understand why this relationship is so important and why we don't have more influence with them. mike: it's a great question. initially,right which is that the bedrock of the saudis' importance to the united states is oil. that is less important. what is now more important is their willingness to stand up to reestablish the persian empire. saudi arabia is willing to stand up to that. that makes them a strategic ally of us in my mind. charlie: on the other hand, i've had people come to this table who you respect and say, 5, 10 years from now, we will have a better relationship with iran and we will saudi arabia. mike: i don't believe that. they believed that iran is going to fundamentally change in the next 10 years. because a younger, reform-oriented group will get their way. mike: because the population is very young. the population is pro-united states. the hardliners are increasingly being -- there is increasing competition to the

saudi arabia severing diplomatic ties with iran. what's the likely next reaction, do you think, from iran? >> yeah. well, we saw, interestingly, a number of contrasting messaging coming out of iran over the past couple of days. we saw a state news agencies and the supreme leader having a hard line response, calling -- suggesting there would be a divine retribution for what's happened. but then we also saw condemning of the protesters who stormed the embassy in tehran. there was a bit of a mixed message. i think there was some calm heads inbetween all of this war of words. so i think iran's got a really serious challenge on its hands to keep things calm, but also to appease its own domestic audiences as well. many of whom who are concerned with problems with the west, but also concerned about what's happening in saudi arabia. >> we'll watch this very carefully. simon, mr. thanks for joining us and sharing your analysis with us. we appreciate it. >> thank you. >> israeli police are still searching for the su

areie: iranian diplomats being told to leave saudi arabia within 48 hours. ations after demonstrators set the saudi embassy on fire. the concert was attacked and they were protesting the execution of a prominent shiite cleric. diplomaticusly cut ties with peers in 1988. a new islamic state video shows the executions of five bri tons. the video is not yet authenticated. there are strike photos mary's targeting the islamic state. government troops are removing the last militant fighters from ramadi. a man was killed in explosion but there were no other casualties in afghanistan. conroy to attack a co near the couple airport president obama will reduce some violence by meeting with attorney general loretta alleged to discuss executive action he could take. he will hold a nationally televised town hall thursday to discuss the issue. new picture show the wreckage of wentunken cargo ship that down during a hurricane near the bahamas in october killing 33 crew members. threetten -- it's nearly miles down in their thinking of a second attempt. day,l news 24 hours a w

and saudi arabia has now announced it is ending air traffic and commercial ties with iran. it is already cut diplomatic links with iran. >> the saudi diplomats on the way home from iran with their families transiting at the dubai airport. as they evacuated came similar action from some of the kingdom's allies. among them neighboring bahrain. after two days of protesters from shia muslim majority. the gulf state that is closely allied with saudi arabia accused iran of blatant and dangerous interference in support for terrorism. the actions follow the attack at the saudi embassy in tehran and accused iran of doing nothing to prevent it. a war of words is escalating. >> we're determined not to allow iran to undermine our security. we're determined not to let iran mobilize or create or establish terrorist cells in our country or in the countries of our allies. >> unfortunately, the government of iran is creating clashes and escalating tensions. it has taken measures in policies in line with that. >> demonstrating after the execution of nimr al-nimr. he and 46 others were charged

saudi arabia cutting ties with iran.rices spike on the news overnight and have come down of their highs. oil is 37.41. up 1% on the session. gold prices are right now up more than 1%, $12 in early trading. keith, big selloff expected. you said right away, did you see the selloff in germany, dax more than 3%. selloff had to be halted in china. >> keith: casino in china is what it is. people that didn't pay attention to the data last week missed a

allies of saudi arabia follow the kingdom's lead, scaling back diplomatic ties with iran. angryut relations after protesters ransacked the saudi embassy in iran. violence sparked by the saudi execution of a prominent shiite cleric. congress,ma bypasses pushing through new executive measures to try and help control gun violence in the united states. up this hour, in business, taking some of the shine off the newest innovations in technology. we will be looking at why it might be a gloomy opening to the consumer electronics show in las vegas. former u.s. president bill clinton has made his first solo appearance campaigning for his wife, and former secretary of state, hillary clinton. that and more on the way. first, our top story. this thursday will mark the one-year anniversary of the attack on french satirical magazine "charlie hebdo," and that and a second shooting in a grocery store two days later left 17 dead last january. the events shocked the nation and turned the publication into a symbol of french freedom, pushing millions into the streets to say, "i am charlie." th

iran erupting at the killing of a cleric by its main rival, saudi arabia. crowds burning u.s. flags to protest america's links to saudi leaders. they burned the saudi embassy in tehran. iran's president condemned that but protests have echoed across the arab world and asia. this was india. rioters clashing with police accusing sunni/saudi arabia of executing a shia cleric as a provocation. in bahrain, more riots and calls for the death of the saudi royal family. it was the biggest execution in decades. 47, mostly al qaeda linked sunni men, but number 46 was a cleric known across the shia world. nimr al nimr was a charismatic saudi preacher. he said he preferred words to weapons, words harshly critical of the saudi regime which executed him for inciting unrest among the shia minority. iran's supreme leader warned saudi arabia would face devine revenge for a crime. iran is seathing. sectarian tensions between iran and saudi arabia have always been high. now they seem to be boiling over. many iranians from all walks of life see saudi arabia as a threat determined to hurt iran. >>

vali: i don't think the domestic protests are a source of worry for saudi arabia, because the saudis will immediately accuse all of the shiites in the eastern province of being iranian agents. that helps to rally the majority sunnis in saudi arabia in support of the government. i think what is more worrisome for saudi arabia is the fact that it now stands accused of having precipitated this latest crisis. this latest crisis cannot be blamed on iranian misbehavior. iran did not start this rices -- this crisis. it is clear that in europe and the united states, saudi arabia is being held accountable for escalating tensions in the middle east, diverting attention from the fight against isis, undermining the diplomatic process that was supposed to end the war in syria, and raising the possibility of greater conflict and instability in the region. i think that is the bigger problem for saudi arabia. tom: lastly, who do you think is going to emerge as being the biggest loser out of these events during the course of the last seven days? saudi arabia and its allies? iran? perhaps a third coun

needs to rethink its relationship with saudi arabia. you've heard that. >> yes, and the saudis here this, right. >> rose: help us understand why this relationship is so important. >> it's a great question. >> rose: and why don't we have more influence with them. >> that's a great question. so, you got it right initially, right, which is that the bed rock of saudi's importance to the united states was oil, right. that is now less important, absolutely. but what's now more important is their willingness to stand up to iran's desire to reestablish, essentially reestablish the persian empire. saudi arabia is willing to stand up to that. that makes them a strategic ally of us in my mind. >> rose: on the other hand, i tell you and i know you've heard this too. i've had people come to this table you respect and say five, ten years from now we'll have a better relationship with iran than saudi arabia. >> i don't believe that. >> rose: you understand the argument they make. >> yes. they believe that iran is going to fundamentally change in the ne

saudi arabia is really change the battleground on its own. the saw deforeign-- saudi foreign minister said that there is a military solution to the syrian problem if bashar al-assad does not agree to leave power. that suggests that saudi arabia is going to outbid russia for syria. i don't believe that's true. it is not clear that this is just bluff, but saudi arabia is already in a difficult war in yemen. its over spending, giant deficit with low oil prices and it is not clear that it can take on russia and syria in this way. we will have to see what the future brings >>> at least six people have been killed after a 6.8 earthquake in north-east india. it struck north near the border of myanmar. the survey says the epicenter was 55 kilometers underground. a resident there described what happened. >> it struck early. it was and 6.7. some of the buildings have been crumble and there were injuries. the epicenter is a bit far. what we have heard is one girl had been killed in a bulged crumbling. six to seven other people have been killed >>> gunmen

bahrain against the ruling family by the predominantly shia population, the government turned to saudi arabia for help and saudi forces helped put down the demonstrators. no surprise that bahrain is falling -- following in saudi arabia's footsteps. bahrain has pulled back its ambassador from tehran before, accusing them of interfering in iranian politics -- in bob brady and -- in bahrainian politics. genie: does this lead to an even bigger divide in the region? rob: efforts have been made to bring iran and saudi arabia together on the issue of syria and the fight against islamic state organization. major hoax had been placed on the two states coming together as part of a coalition -- major had been placed on the two states coming together as part of a coalition. people will be worried that this will undermine all the efforts and progress there has been up till now. there are big fears that heightened sectarianism will create problems specifically in syria, but to a lesser degree in iran, and also throughout the region. genie: we are hearing the united arab emirates is also downgrading its dip

he from saudi arabia. robin, you say this scism is perhaps turning into one of the biggest divides in the world of islam in 14 centuries. >> i think so. in terms of the scope of the impact and the damage that's being done, this is something with a two rival powers that plays out politically, ideology, strategically and every range and it's having an extraordinary impact on the four critical peace initiatives that were supposed to begin playing out this month. the effort to get the government and opposition together in syria. the effort to push the various warring factions in yemen to a second round of peace talks after the collapse of the cease-fire, to help the iraqis move both militarily and politically to solve the cry with isis. this timing really comes at an extraordinary moment at each one and having a rippling impact across the region. >> do you think that saudi arabia recognized what it was getting itself into with the execution of this shiite cleric? >> well, at least they should have known largel

we are doing saudi arabia and iran, saudi and iran. when do they deliver barrels? in the next 2-3 weeks, we have the implement date, and at that moment, they are able to sell. the barrels could come very quickly. iran is going to take a long time, up to one year. now, that thinking within the trade community is that it could be delivering a lot of oil in weeks. tom: i like that analysis. is it priced into the market at $36 a barrel? javier: it is beginning to be while i think some beginningnian oil is to be priced into the market, i think there is still some skeptical traders and investors out there who do not believe that it will come so quickly. the moment that it happens, i .hink iran will price that is when we will see lower prices. that will coincide when refineries are going out of work , that is when we create the glut. francine: this brings us back to inflation across the world, especially eu inflation. zeros stayed close to the level. they only have one mandate, to put prices up. david: absolutely. we are seeing an extension over the last year and 18 month

>> i think that saudi arabia has been a steadfast u.s. ally for a long time. is are much more likely to support american interests. so i think in general the u.s. should be supportive of saudi arabia. the problem is this, at the end of the day it is america's support for saudi arabia for regimes like general el sisi in egypt, these fueled islamic fundamentalism and terrorism. what these guys say is look at the united states. it's supporting all these regimes that oppress us. so it's a double edge sword where, you know, we do need to support saudi arabia. on the other hand, you know, it has created this long-term problem of placing the united states as target number one, enemy number one for all these islamic fundamentalists. and remember, saudi arabia is no paragon of liberty. saudi arabia has some of the most represssive aggressive ruls in the world. it is medieval functioning in the 21st century. >> it is so important to talk about. fareed zakaria, thank you so much. we will continue of course to monitor the breaking news on wall street, an extraordinarily vo

saudi arabia has cut ties with iran and expelled diplomats after the saudi embassy in toronto was attacked is a protest for the execution of shiite cleric elon musk tried to ship 50,000 vehicles last year they eight graph,580 with manufacturing more than one they shipped 208 suv's in the fourth quarter. thank you so much. the worst ever start to the year for chinese shares created a halt to the circuit breakers are to the test been manufacturing contracted. happy new year it looks like a bad start to the year for the markets in china. it's data that disappoints. certainly the pmi news was not good. they were missing expectations. you see contraction in the manufacturing sector. if you look at the balance of the latest numbers, they don't balance. the real story on the chinese stability,2015 is stability paid for with massive stimulus. i think what's driving the market is something more specific. expirationrs of the of some of the support measures the government introduced at the top the crash in 2015. back then, with the market really in freefall, securities regulators in china said major

saudi arabia and gulf allies cut ties to iran after an attack on the saudi embassy. look like general motors investing in- is the right against uber. markets are tanking. we are deeply in the red. all stocks are down. i want to get to julie hyman with more on that news. >> that number is coming in worse than estimated. a 49 is what an -- is what economists said. this manufacturing number coming in worse than estimated. it is also a contraction at the path -- contraction at the fastest pace in six years. readings under 50 do indicate contraction. this adding to the already negative tone we have seen this morning with stocks deeply in the red. it looks like it will be the worst one day selloff for u.s. stocks. we had that steep decline in the correction. began in china, where he also had a steep selloff you the shanghai composite falling 5%. this being triggered by manufacturing numbers there as well. if we can take a look at some of those chinese stocks we have been missing and chinese groups on the move, down nearly 7% on the day. this is the etf that attracts the on

saudi arabia said that they had the diplomats in saudi arabia with 48 hours to leave. $38. it is up. the oil prices are coming down. oili arabia is the biggest producer and iran is the fifth biggest. would have to remember the oil prices at multi-year lows and we saw the first shipments a think of days ago and i expectedfted and then a short-term spike in oil prices and a long-term increase. host: we will have a look at the impact of the oil later in the program. , it is a twost day it is on amy and for the 10th and consecutive month, a contraction it was 48.2d and and it is the lowest output with the new orders falling from the previous month. the factors and it is 48.2. read --he officials, it the reading inched higher and forcan see the contraction five consecutive months and it is the longest streak since 2009. this continued to be a contraction and this is the old driver having a hard time, despite all the stigma. fell in the contraction and the interest rates were cut. have a positive takeaway, it looks like the situation has stabilized. the main bright spot for t

they realize that they cannot be the guard dogs of saudi arabia. i believe president obama was aware of this and in an interview with the new york times he said clearly, okay we can protect you, he's talking to the saudis, we can protect you from iran but the major problem you are facing, you have to look at your people. people who are unemployed, who are frustrated, would like to participate in the process which will determine their future. i believe now there's some sort of awareness in the united states. saudi arabia wanted the american government to send troops to find the hezbollah state in iraq and syria. boots on the ground. but. but they said no, we cannot do it. we did it in iraq and look what happened to us. now president obama says we are not going to send troops on the ground. i believe he is correct this time. >> there are reports the saudi rulers ill and there's real rivalry among the senior princes to be the next king. do you have have any inside information about that struggle? >> yes. i know someone. >> i figured you might. >> he to

new questions about the relationship with saudi arabia are asked. ere's no reason, but reduced dependence in the west. the saudi-led war in yemen not considered a success, and the coverage of editorial winds seem to shift. >> there has been a marked change in the way media is covered. huge numbers, but is not mentioned as much. >> the criticism sa warranted. where it's unwarranted, it's hypocritical for iranian media to criticise saudi arabia on human rights grounds. iran excluts more media that saudi arabia. the narrative is that iran is the problem, the exporter of terrorism. this is shifting in the west, around the iran deal, and you can see that in editorial pages. the execution and human rights is one thing discussed, acknowledged as part of reality as it has not been since my career in journalism began in the late 1990s. >> this story and the way it's been reported is not about the execution. it's just where it started. really look past the headlines and you have a power struggle between riyadh and tehran. it's about the changing geopolitics of

it is crucial for saudi arabia. once they come out of the meeting with a united stance, they go further, expand the influence of the arab league, arriving for other countries to join them. we have seen some countries, the crisis, them saying that we need to see more wisdom. not necessary cutting ties. they would like to move forward and ask for support. >> the rift between the two regional powerhouses raises the spectre of worsening violence in countries, where they back different countries, ie yemen, syria. we are seeing signs of further escalation. like in yemen, the saudis right up to the crisis with tehran, stopping the troops with the houthis. bashar al-assad said that they are continuing the air strikes, and are insisting that if they don't pull up the regions, the area they control will be an issue. saudi arabia says that it is more about a new opposition taking over, and bashar al-assad has to go. if this doesn't happen, the saudis will continue to provide assistance to the syrian opposition. >> we'll keep a

and saudi arabia but, in fact, the u.s. reaction, the state department of the white house reaction to executions was in the opinion of many people quite muted. a spaex man talked about expressing concerns about a legal process that doesn't include due process and the human rights situation in saudi arabia. how does that make you feel when the hear the american government using those terms to describe being upset about the execution of 47 people? >> when the u.s. says things like expressing concern, what they're really saying is we know what this government just did, it is a terrible, terrible thing, but since they're our al-i lie we will shut up about this. this is the same formula they have used with crimes why egypt and now we're seeing it in saudi arabia. i think it is very embarrassing >>> the supreme leader in iran had a graphic posted on his website. you can see it in any language which xaers i.s.i.l. to saudi arabia. they're saying is there any difference - compares. this graphic is fraught with irony and contradicti

the dispute began on saturday when saudi arabia executed a well-known cleric. >> reporter: saudi diplomatseir way home with their families. as they were evacuated came similar action by some of the kingdom's

the gulf states closely al tloishingd saudi arabia of blatant and dangerous interference in arab countries and support for terrorism. the actions followed the arson attack at the saudi embassy in tehran. saudi arabia accused tehran of doing nothing to prevent it. a war of words is escalating. >> we are determined not to allow iran to undermine our security we were determined not to let iran mobilize or create or establish terrorist cells in our country or in the countries of our alleys. >> translator: unfortunately, the government of saudi arabia has an interest in escalating tensions in the region. in receipt years, it has certain measures and followed policies in line with that. shia people right across the middle east have been demonstrating after the execution of the cleric and 46 others including al-qaeda preacher were accused of plotting attacks, targeting civilians and security forces. saudi arabia is adamant he got a fair trial. it's not the first time diplomatic relations have been cut but there are fears it could cause more violence. >> the sunni dominated area is at the lowest p

you don't do that in saudi arabia.ve secret police, they killed and now saudi arabia cleaning up. as they cut ties with iran. but we do have sedan and the united arab of emirates saying we're siding with saudi arabia. could web on the sunni, shi'a, two religious faxes of islam war? first on fox business we have a guy that we should be speaking to on a day like this. admiral, he's retired but also former nato commander, also the author and dean. tough when you have hot headed responses back and forth right now. but, admiral, how serious is this? the time i started thinking about it and the time i've looked at the news wires, saudi arabia has cut diplomatic ties with iran. >> this is very serious. i don't think we're going to see a move toward all out hostilities between iran and saudi arabia. but what are has a cold war and somewhat of a twilight war i think is going to become a much more active confrontation. not directly between the two nations but through surrogate situations. this is going to make saudi arabia immen

saudis accuse him of inciting terrorism in saudi arabia. they say he is calling for the peaceful overthrow of the saudi royal family. you can see at the moment the tensions escalated. the saudis have been aware for the potential of this. >> a complicated place for the united states to be diplomatically. long time ally, saudi arabia. the united states not happy with human rights issues in the country. the united states part of the nuclear deal with iran. interesting to see how the united states will react in the next few days. >> reporter: yeah. what you have here inside saudi arabia is not just saudi reaction and concern to the new approach with the united states and iran. you also have, if you go back to the arab spring of 2011, saudi arabia was disappointed with the united states not backing up its allies in the region. the tunisia president and the saudis recognized they need to look to themselves for the security in the region. they beefed up security forces. they have a huge defense spending on internal security and army that can face-o

ran and saudi arabia, tensions are expanding. hranomatic action against prompted an attack on a saudi embassy. here is our chief international correspondent. >> more protests across the region over the execution of the leading cleric. hrain.as ball inre is a growing crowd communities. the cleric was known for his fiery speeches for minority shiite rights. was convicted for sedition and violets. -- violence. >> i'm a spokesperson and i'm applyingrned about sharia law, according to the facts we have. niun grows louder with mosques attacked and a prayer leader killed in retaliation. the reaction rises along sectarian lines. hrain followed saudi arabia in ordering all diplomats to leave. even sudan, in northeast africa, has cut ties. >> the divide goes back centuries to a battle over who should lead the muslim community after the death of the prophet mohammed. it's put the faith into two main -- it has split the faith into two main branches. the issue of leadership has become intensely political, following the islamic revolution. >>

sunni-led saudi arabia severed diplomatic ties with iran after demonstrators attacked the saudi embassy in tehran. the latest move. the saudi foreign minister said his country would end air traffic and trade links with iran. and leave the country within 48 hours, and the united arab emirates announced it will downgrade diplomatic relations with iran. a white house spokesperson with the u.s. said the u.s. government is urging the government to show restraint. >> a spokesperson said the talks are aimed at condemning the actions against the saudi arabian embassy in tehran. now more from tehran. >> reporter: the attack on the saudi embassy might have the tensions have long simmered between the two countries, each led by a different muslim sect. saudi arabia by sunnis and iran by shias. the majority of people in iran are shia, and here in the capital of tehran, many reject saudi arabia's decision. >> translator: saudi arabia is scared of iran's power. that's why the country is looking for a pretext for damaging ties. >> translator: we don't want to fight, but if saudi arabia wants to cut tie

let's hear from the saudi arabia side. we are joined from the saudi arabian capital, riyadh. thank you for being was. many in iran said that this deal could strengthen ties with saudi arabia and iran. is that a sent in the that riyadh agrees with? >> kingdom of saudi arabia called for iran to come to the international community, this is a good step that saudi arabia is monitoring close. we would like iran and neighbouring muslim country with an influence among the world economy to be part of the international community. i think saudi arabia, they have developed the notion that iran is coming back with a genuine cause, and will stop exporting revolution ideas to some areas, i think saudi arabia will play ball. they are both big countries, wealthy countries. i think it will be a good step for the whole region >>> now that iran has come to the international stage, how concerned is saudi arabia that the tables may have turned? saudi arabia may have lost western allies. iran, after all, is now the favourite partner in the region. >> i don't think that will affect saudi arabia that

and saudi arabia. it already has its troubles recently, one being the iran nuclear deal with the u.s. saudi is very of the uncomfortable with that. but also this thought of decreasing u.s. dependence on staud did i oil. does something like this continue, a decline, a deterioration in the relationship between the u.s. and saudi arabia? >> i think it does, jim. look, this war in yemen has turned out to be a disaster. yemen as a country is being blown into rubble right now. you're having 20-some million people facing starvation at this point. washington does not support this war, nor did z it support a lot of saudi policies in the middle east. but there's nothing we can do about it. washington would love to find a way to tone this down as general hertling said. the possibility between a war between iran and saudi arabia is getting better by the day. and it's a war we couldn't control. bring the whole gulf down. as well as saudi oil supplies very quickly. i don't see how we can stop it, but i can tell you t