Trump claims Saudi ‘fist fight’ explanation on Khashoggi's death credible

US President Trump has said publicly he believes the official Saudi explanation for the high-profile death of Jamal Khashoggi is credible, despite the widespread assessment that the Saudi probe into his killing was a farce and a whitewash.

Early on Saturday, Riyadh released a statement admitting the journalist had been killed in a "fist fight" inside the Saudi consulate in Istanbul, despite denying the allegations for two weeks and insisting he left the consulate safe and well.

“I think it’s a good first step, it’s a big step. It’s a lot of people, a lot of people involved, and I think it’s a great first step,” Trump, who has forged close ties with Saudi Arabia during his presidency, told reporters in Arizona.

Read more: After Khashoggi's murder, damage limitation for MbS and the Royal court

“Saudi Arabia has been a great ally. What happened is unacceptable,” he said, adding he was to speak with crown prince Mohammed bin Salman.

Speaking at Luke Air Force Base in Arizona, Trump said he would work with Congress on what the US response should be, but stressed that he'd prefer not to sanction the kingdom as it would hurt American companies and jobs, citing the $110 billion weapons deal signed by the two leaders last May.

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Bin Salman is alleged to have known about the killing in the consulate, with some accusing him of ordering it himself given the close links of many of the suspects to him personally.

Over the period of Khashoggi's disappearance, Turkish state-sponsered media outlets have leaked an array of graphic and gruesome details of the dissident writer's alleged torture and dismemberment the hands of a Saudi secret service "death squad".

An earlier statement from the White House said the US was "saddened" by the confirmation of Khashoggi's death.

Trump, who previously warned there would be "very severe" consequences should Saudi Arabia be proven responsible, has dramatically lowered his tone on the scandal, yet fellow US lawmakers remain outraged and demand action.

Agencies contributed to this report.