Most Gulf markets opened little changed on Wednesday as real estate stocks continued to pressure Dubai and banks propped up Qatar's index.

In Dubai, five out of 6 real estate stocks fell, sending the main index down 0.4 percent. Emaar Properties shed 0.8 percent while DAMAC Properties fell 1.5 percent after saying it expects Dubai's real estate market to face another few quarters of "soft market conditions" before starting to rebound from late 2019.

Construction firm Drake & Scull continued to surge, adding 3.6 percent in heavy trade ahead of its shareholder meeting this Thursday, which is expected to discuss ways to strengthen the company.

The Saudi Arabian index fell 0.2 percent in the first hour as banks and petrochemicals weighed it down.

Saudi Basic Industries was down 0.3 percent but Saudi International Petrochemical (Sipchem) rose 0.4 percent after signing a memorandum of understanding on a "merger of equals" with Sahara Petrochemical, which jumped 1.9 percent

Sipchem would increase its share capital by 733.3 million shares, and each Sahara shareholder would receive 0.8356 new Sipchem shares. Sipchem said it expected to sign a final deal by February 2019.

Qatar's banks propped up its index, which was up 0.1 percent. Masraf Al Rayan was up 0.9 percent while drilling rig provider Gulf International Services headed for its seventh straight gain, rising 1.5 percent.

(Reporting by Abinaya Vijayaraghavan in Bengaluru; Editing by Andrew Torchia) ((abinaya.vijayaraghavan@thomsonreuters.com; within U.S.+1 646 223 8780; outside U.S. +91 80 6749 2733; Reuters Messaging: abinaya.vijayaraghavan.thomsonreuters.com@reuters.net))