Tabreed falls, UAE markets flat

Cooling firm Tabreed falls in early trade on Thursday after it asked its board of directors to approve a reduction in the firm's share capital.Tabreed drops 2.1 per cent. Dubai index edges 0.07 per cent lower to 1,512 points."There has been a balance between buying and selling powers lately and material upside will only become visible upon a pick up in buying interest and a break above the resistance at 1570," Shuaa Capital says.

Other markets are also trading flat on thin volumes with banking earnings offering little inspiration to investors.Abu Dhabi's index retreats 0.08 per cent to 2,545 points.First Gulf Bank (FGB) edges 0.4 per cent higher, while Union National Bank is unchanged.FGB reported a 25-per cent rise in second-quarter net profit, missing forecasts."Overall, this is a solid set of results, in our view," says Goldman Sachs in a note to clients."Although core profitability (excluding property gains) declined in 2Q10 mainly due to higher provisions, annualized ROE of 16 per cent in 2Q10 confirms FGB's resilient business model," it adds.