Aramex fell 2.3 percent. Its quarterly profit rose 12 percent to 46.7 million dirhams ($12.7 million), below a consensus forecast of 48 million dirhams.

Arabtec and Emaar Properties fell 1.3 and 1 percent respectively as Dubai's index declined for a first day in three. The index dropped 0.5 percent to 1,745 points.

"The market is drifting back ahead of major earnings news - Emaar is key because it is the bellwether for both the market and the real estate sector," said Matthew Wakeman, EFG-Hermes managing director for cash and equity-linked trading. 

Third-quarter results will decide whether markets in the United Arab Emirates can hold onto recent gains, said Wakeman. Abu Dhabi hit a six-month high on Monday and Dubai is up 17.6 percent since Aug. 31. The Abu Dhabi index fell 0.2 percent to 2,826 points.

"I'm surprised there hasn't been more severe profit-taking, but there is optimism going forward and earnings will have to justify this," added Wakeman. 

Egypt telecoms operator Mobinil fell 2.8 percent to a four-week low after its third-quarter profit dropped 40 percent to come in far below expectations.

"These were disappointing results. It seems to be hard for them when there is real competition," said Nader Khedr, an investment and capital market analyst. "These are the first results of the season. What will the rest be like? It doesn't look good." 

Saudi Basic Industries Corp. (SABIC) rose 0.5 percent to a new five-month high and analysts are bullish about the prospects for Saudi petrochemicals as expected US quantitative easing measures - essentially printing more dollars - boost materials stocks globally. 

"There is serious value to be found in Saudi petchems, especially the big names like SABIC and Yansab," said a Riyadh-based trader at an international bank. 

The Tadawul All-Share Index (TASI edged up 0.05 percent to 6,333 points. The sector activity for the day was mixed with 8 out of 15 sectors closing with gains ranging from 0.07 percent by the Transport sector to 1.43 percent by the Industrial Investment sector. On the other hand the losing sectors for the day ranged from 0.11 percent by the Multi-Investment sector to 0.96 percent by the Media and Publishing sector. The overall market breadth for the day was positive with 55 advancers against 64 decliners giving it an AD ratio of 0.86, the Financial Transaction House (FTH) said in its daily market commentary.

The liquidity for the day reached SR2.69 billion.

Meanwhile, the Capital Market Authority (CMA) will launch a new interactive website on Wednesday as part of its efforts to reach out to investors and enhance their right and investment awareness. The website has a complete new look and is linked to social media network sites such as Twitter, Facebook and YouTube.

The Kuwaiti index fell 0.09 percent to 7,026 points.

The Qatari index rose 0.4 percent to 7,816 points.

The Omani index rose 0.4 percent to 6,594 points.

The Bahraini index slipped 0.2 percent to 1,467 points.

The Egypt benchmark fell 0.7 percent to 6,805 points.
 
- With input from agencies