BANGALORE - Major Gulf stock markets fell in early trade on Thursday as investors adopted ​a cautious stance ⁠ahead of a third round of U.S.-Iran nuclear talks ‌set to take place in Geneva later in the day.

Saudi Arabia's benchmark stock ​index slipped 0.5%, deepening its losses as the kingdom's budget deficit widened quarter-on-quarter ​due to higher ​expenditures.

Losses were broad-based, with financial stocks leading the decline, including a 0.6% descent in Al Rajhi Bank, the world's ⁠largest Islamic lender, and a 1.4% drop in Saudi National Bank, the country's largest lender by assets.

Saudi Aramco shares fell 0.7%, on track to extend a two-day slide, following the energy giant's ​confirmation of damage ‌at its ⁠Juaymah terminal and ⁠resulting delivery cancellations. Reuters reported that Saudi Arabia is ramping up oil production and ​exports as part of contingency measures to mitigate ‌potential disruptions from a U.S. strike ⁠on Iran.

In Dubai, the main stock index retreated 0.5%, weighed down by banking stocks. Emirates NBD Bank fell by more than 3%, while blue-chip real estate developer Emaar Properties shed nearly 1%.

The UAE's Central Bank unveiled plans on Wednesday to establish a sovereign financial cloud infrastructure in collaboration with G42 subsidiary Core42.

Abu Dhabi's stock index edged down 0.3%, following two flat sessions, with ‌Alpha Dhabi Holding and Aldar Properties declining 0.6% and ⁠0.5%, respectively. Bloomberg reported that Shell is in ​talks with ADNOC and others regarding the sale of its stake in an Australian LNG project.

Qatar's stock index eased 0.3%, dragged by broad-based ​losses. Qatar ‌National Bank, the region's largest lender, dipped 0.3%, while ⁠Qatar Aluminum Manufacturing Co tumbled ​3.1%.

(Reporting by Amna Mariyam; Editing by Sharon Singleton)