Gulf bourses muted in early trade; Fed meet eyed | Reuters

Gulf bourses muted in early trade; Fed meet eyed | Reuters

Most stock markets in the Gulf were subdued in early trading on Wednesday as investors turned cautious ahead of U.S. consumer price index data for May and the Federal Reserve's rate decision and interest rate projections due later in the day.

Most Gulf currencies are pegged to the dollar and any U.S. monetary policy changes are usually followed by Saudi Arabia, the United Arab Emirates and Qatar.

Dubai's benchmark stock index (.DFMGI), opens new tab retreated 0.5%, after the previous session of gains, with most of its constituents losing ground. Low-cost flyer Air Arabia (AIRA.DU), opens new tab slipped 3% and Emaar Properties (EMAR.DU), opens new tab shed 0.8%.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab fell 0.2%, pressured by a 1.4% drop in conglomerate Alpha Dhabi Holding (ALPHADHABI.AD), opens new tab and 3% decline in Multiply Group(MULTIPLY.AD), opens new tab.

The investment holding company Multiply's unit Omorfia has acquired Grooming Company Holding (TGCH), a salon and beauty services provider in the UAE.

Among other fallers, Alef Education(ALEFEDT.AD), opens new tab, an edu-tech firm, dropped 8.9% to 1.23 dirham compared with its IPO price of 1.35 dirham per share in its market debut.

Saudi Arabia's benchmark stock index (.TASI), opens new tab was down 0.1%, weighed down by losses in most sectors. ACWA Power slipped 3.2% and Middle East Pharmaceutical dropped 1.7%.

However, shares of the staffing company Saudi Manpower Solutions Co. (1834.SE), opens new tab jumped 24% to 9.30 riyals compared to its IPO price of 7.50 riyals per share in its market debut.

The Qatari benchmark index (.QSI), opens new tab was up 0.3%, helped by gains in most sectors with Commercial Bank (COMB.QA), opens new tab adding 1.7% and Gulf International Services (GISS.QA), opens new tab rising 3.2%.