MIDEAST STOCKS-Gulf stocks mixed after Iran denies US talks, Qatar continues decline

March 24 (Reuters) - Gulf stock markets struggled for direction in early trading on Tuesday, with Qatar extending fall amid mixed messages on U.S.-Iran talks after President Donald Trump delayed strikes on Iran's energy infrastructure.

Trump's decision on Monday was because of what he described as productive talks with Iranian officials. Iran, however, denied that it had engaged in negotiations with the U.S..

The U.S. will continue its strikes on Iran, with the pause applying only to attacks on Tehran's energy sites, Semafor reported on Monday, citing a U.S. official.

The report said Israel was not party to Washington's talks with Tehran.

The ongoing regional conflict has driven sharp increases in energy prices, disrupted air travel, and severely impacted shipping operations through the Strait of Hormuz.

Dubai's main index .DFMGI pared early gains to trade 2.5% up, supported by gains in heavyweight real estate and communication services stocks.

Dubai's blue-chip developer Emaar Properties EMAR.DU climbs 4.4% and telecom operator Emirates Integrated Telecommunications DU.DU jumps 3.7%.

In Abu Dhabi, the index .FTFADGI also trimmed its initial gains to trade 0.5% up, with utility firm Abu Dhabi National Energy TAQA.AD advancing 5.1%, while Emirates Telecommunications Group EAND.AD increasing 2.7%.

However, Saudi Arabia's benchmark index .TASI slipped 0.4% in early trade, dragged down by a 3.8% decline in Saudi Arabian Mining Company (Ma'aden) 1211.SE and 1.7% drop in oil behemoth Saudi Aramco 2222.SE.

Saudi oil and gas drilling services provider Ades Holding 2382.SE gained 3.9% after the firm increased its FY2026 EBITDA guidance range to SAR 4.50-4.87 billion, a 33% to 44% hike from last year.

Qatar's share index .QSI tumbled 1.1%, extending losses from previous session on March 18, led by a heavy fall in financial and energy stocks.

Gulf's largest lender Qatar National Bank QNBK.QA dipped 1.6%, while energy shipper Qatar Gas Transport (Nakilat) QGTS.QA slumped 3.4%.

With the war raging and shipments of about one-fifth of the world's oil and liquefied natural gas through the Strait of Hormuz still curtailed, oil prices resumed their climb on Tuesday.

Brent Crude LCOC1 was up 1.4 % at $101.28 a barrel by 0812 GMT. O/R