Most major stock markets were subdued in early trade on Tuesday as oil prices weakened, while Qatar's index was supported by financial shares.

Saudi Arabia's benchmark index slipped 0.1%, with Riyad Bank declining 1.2% and Jabal Omar Development dropping 1.8%.

Oil prices, a key catalyst for Gulf markets, edged down as tighter lockdowns in Europe and an OPEC forecast for a slower recovery in demand next year outweighed relief from the roll-out of COVID-19 vaccines. 

Brent crude futures were down 40 cents, or 0.8%, at $49.90 a barrel by 0816 GMT.

Dubai's main shares index lost 0.5%, with its largest lender Emirates NBD Bank falling 0.9% and Emaar Properties losing 1.4%.

Dubai's non-oil private sector shrank for a second consecutive month in November as the pandemic drove business sentiment to an historic low, a survey showed on Monday. 

The seasonally adjusted IHS Markit Dubai Purchasing Managers' Index (PMI) declined to 49.0 in November from 49.9 in October, which was just below the 50-mark that separates growth from contraction and snapped a third-quarter growth streak.

In Abu Dhabi, the index eased 0.2%, hit by a 0.8% fall in Abu Dhabi Commercial Bank and a 1% drop in Abu Dhabi Islamic Bank.

The Qatari index added 0.1%, supported by a 1.4% gain in Commercial Bank and a 1.2% rise in Qatar International Islamic Bank.

 

(Reporting by Ateeq Shariff in Bengaluru; Editing by Pravin Char) ((AteeqUr.Shariff@thomsonreuters.com; +918061822788;))