* Saudi economy showing some signs of recovery

* But main index dips on profit-taking

* Dubai dragged lower by blue chips

* Abu Dhabi outperforms as large caps advance

* Egypt's OTMT dumped on CEO departure, North Korea setback

By Celine Aswad

DUBAI, Dec 5 (Reuters) - Most stock markets in the Gulf fell on Monday as the mood on global exchanged darkened because of the 'No' vote in Italy's referendum on constitutional reform, while Egypt's most heavily traded stock sank on news its chief executive would step down.

Riyadh's main index .TASI fell 0.3 percent to 7,106 points, but it closed 83 points above its intra-day low and is still up 3.2 percent year-to-date.

Trading volume shrank slightly but remained healthy compared to this year's average, and fund managers characterised the selling of stocks as profit-taking rather than an reversal of the strong uptrend of the last few weeks.

A purchasing manager's index released on Monday showed growth in Saudi Arabia's non-oil private sector picked up in November from a record low in October.

Petrochemical shares were a mixed bag. Yanbu National Petrochemical 2290.SE fell 1.0 percent but the biggest company, Saudi Basic Industries 2010.SE , added 0.3 percent.

Most banks dropped, with heavyweight Al Rajhi Bank 1120.SE slipping 1.2 percent.

Dubai's index .DFMGI pulled back 0.3 percent as trading volume fell by roughly a half from Sunday. Profit-taking in some large caps which had gained strongly on the previous day was the main drag, with Emaar Properties EMAR.DU dropping 0.6 percent.

But Commercial Bank of Dubai CBD.DU , which is usually sparsely traded, added 5.1 percent in unusually active volume.

Abu Dhabi's stock index .ADI swung 0.9 percent higher after a volatile session. Blue chips provided the main support with First Gulf Bank FGB.AD adding 2.2 percent and Abu Dhabi Commercial Bank ADCB.AD gaining 2.5 percent.



EGYPT UNDERPERFORMS

Cairo's index of the 30 most liquid shares .EGX30 pulled back 1.8 percent as Orascom Telecom Media and Technology OTMT.CA tumbled nearly 10 percent in its heaviest trade since 2012.

The company announced that Egyptian billionaire Naguib Sawiris had resigned as chief executive and his deputy Tamer El Mahdi was nominated as successor. It gave no reason for the departure.

Earlier on Sunday, OTMT also said it was closing its Orabank affiliate in North Korea because of complexity of complying with U.S. sanctions on that country. The company added that its telecommunications associate Koryolink would continue operations in North Korea while complying with sanctions.

"Investors are still absorbing the shock of Sawiris stepping down and of exiting the N.Korean bank," said Wafik Dawood, portfolio manager at Cairo's Compass Capital. "But fresh blood could be good news for the company over the longer term."

Local funds were heavy sellers of Egyptian equities, exchange data showed, while foreign funds continued to be net buyers, as they have been since the central bank ditched the Egyptian pound's peg to the U.S. dollar on Nov. 3.

MONDAY'S HIGHLIGHTS



SAUDI ARABIA



* The index .TASI fell 0.3 percent to 7,106 points.



EGYPT



* The index .EGX30 lost 1.8 percent to 11,427 points.



DUBAI



* The index .DFMGI shed 0.3 percent to 3,408 points.



ABU DHABI



* The index .ADI added 0.9 percent to 4,301 points.



QATAR



* The index .QSI dropped 0.8 percent to 9,932 points.



KUWAIT



* The index .KSWE fell 0.2 percent to 5,546 points.



OMAN



* The index .MSI added 0.1 percent to 5,617 points.



BAHRAIN



* The index .BAX dipped 0.3 percent to 1,173 points. (Editing by Andrew Torchia/Keith Weir) ((celine.aswad@thomsonreuters.com)(+971562247653))