Most Middle East markets rose, with upbeat US earnings boosting global sentiment.

The Tadawul All-Share Index (TASI) fell 0.67 percent to 6,174.74 points. The sector activity for the day was mostly negative with 12 out of 15 sectors closing with losses ranging from 0.22 percent by the Real Estate Development sector to 3.05 percent by the Media and Publishing sector. On the other hand the gains ranged from 0.08 percent by the Banks & Financial Services sector to 0.60 percent by the Telecommunication & Information Technology sector. The overall market breadth for the day was positive with 20 advancers against 106 decliners giving it an AD ratio of 0.18, the Financial Transaction House (FTH) said in its daily market commentary.

Mobily (Etihad Etisalat) ended 1 percent higher after being up as much as 4 percent intraday.

Yanbu National Petrochemical Co. (Yansab) fell 7.4 percent on talk the company may not pay a dividend this year, analysts said.

Saudi Basic Industries Corp. (SABIC), which owns 51 percent of Yansab, dropped 2.2 percent.

"If SABIC's Q2 profit is above SR6 billion, it could give the market a leg up, but at present, it's impossible to say with any conviction that the market will move in either direction," said a Riyadh-based analyst who asked not to be identified. 

SABIC is forecast to make a quarterly profit of SR5.6 billion riyals.

Oman's Raysut Cement fell 3 percent to a 13-month low and Bank Muscat slipped 0.3 percent after each reported second-quarter profits below analysts' forecasts.

"Though the net interest income of Bank Muscat was as expected, the bottom line fell short of our expectations," said Joice Mathew, head of research at United Securities in Muscat. "The bank is feeling pressure from rising operating expenses and regional exposures through its associate."

Dubai's index gave up early gains to fall 0.2 percent to 1,505 points as day traders who bought at the open failed to attract longer-term investors. These traders then dumped shares at the session-end.

Arabtec lost 0.6 percent and Dubai Financial Market fell 0.7 percent.

The Abu Dhabi index rose 0.4 percent to 2,527 points.

"A lot of investors have switched to international markets, particularly the US, instead, that's why there's been a big drop in UAE volumes," said Vyas Jayabhanu, head of investments, Al-Dhafra Financial Broker. 

National Bank of Kuwait ended flat as investors gave a muted response to the lender's 10 percent rise in second-quarter profit.

Egypt's main index rose for a fourth day in five. Palm Hills Developments climbed 2.9 percent, trimming losses to 17 percent since June 20, when it pushed back a plan to sell 500 million pounds in bonds until 2011. The measure rose 0.5 percent to 6,057 points.
   
- With input from agencies