Most stock markets in the Gulf were subdued in early trading on Wednesday as investors turned cautious ahead of U.S. consumer price index data for May and the Federal Reserve's rate decision and interest rate projections due later in the day.

Most Gulf currencies are pegged to the dollar and any U.S. monetary policy changes are usually followed by Saudi Arabia, the United Arab Emirates and Qatar.

Dubai's benchmark stock index retreated 0.5%, after the previous session of gains, with most of its constituents losing ground. Low-cost flyer Air Arabia slipped 3% and Emaar Properties shed 0.8%.

The Abu Dhabi benchmark index fell 0.2%, pressured by a 1.4% drop in conglomerate Alpha Dhabi Holding and 3% decline in Multiply Group.

The investment holding company Multiply's unit Omorfia has acquired Grooming Company Holding (TGCH), a salon and beauty services provider in the UAE.

Among other fallers, Alef Education, an edu-tech firm, dropped 8.9% to 1.23 dirham compared with its IPO price of 1.35 dirham per share in its market debut.

Saudi Arabia's benchmark stock index was down 0.1%, weighed down by losses in most sectors. ACWA Power slipped 3.2% and Middle East Pharmaceutical dropped 1.7%.

However, shares of the staffing company Saudi Manpower Solutions Co. jumped 24% to 9.30 riyals compared to its IPO price of 7.50 riyals per share in its market debut.

The Qatari benchmark index was up 0.3%, helped by gains in most sectors with Commercial Bank adding 1.7% and Gulf International Services rising 3.2%.

(Reporting by Md Manzer Hussain; Editing by Hugh Lawson)