(MENAFN - Khaleej Times) Fourth-quarter earnings and dividend payouts are expected to be the main drivers of performance in Gulf markets in the coming weeks, according to Abu Dhabi Investment Company report released on Sunday.
In addition, investors will also be closely watching the announcement of federal budgets for 2014 for an indication of continued fiscal support to the region's economies, the report added.
Investor sentiment across the region remains robust, with Dubai's successful bid to host the World Expo2020 reinforcing the UAE economic story, even if the benefits from the events for the tourism, trade, retail and real estate sectors will be gradually felt in the coming years.
On Sunday, almost all Gulf stock markets closed higher except Dubai, which witnessed a modest decline. Abu Dhabi's benchmark index advanced for a fifth day on attractive prices and earnings prospects. The ADX General Index increased by 0.6 per cent to 4,383.68 points, the highest close since August 2008.
Dubai Financial Market General Index witnessed slight correction and declined by 0.15 per cent to 3,467.18 points. Dubai benchmark index advanced by 107.7 per cent in 2013.
Last year was a record performance year for DFM. Its capitalisation jumped by nearly 43 per cent to Dh259.6 billion in 2013. The value of shares traded during the year reached Dh159.9 billion, compared to Dh48.6 billion recorded during 2012, an increase by 229 per cent.
The number of shares traded up by 214.3 per cent to reach 127.2 billion shares during this year compared to 40.5 billion shares were traded during 2012. The number of transactions executed during 2013 up by 115.3 per cent to reach 1.3 million compared to 621.4 thousand deals carried out during the previous year.
The value of stocks bought by foreign investors during this year reached Dh69 billion comprising 43.1 per cent of the total traded value. The value of stocks sold by foreign investors during the same period reached Dh67.3 billion comprising 42.1 per cent of the total value traded. Accordingly, DFM net foreign investment in-flow reached Dh1.7 billion.
While the value of stocks bought by institutional investors during this year reached Dh38.3 billion comprising 24 per cent of the total traded value. The value of stocks sold by institutional investors during the same period reached Dh37.5 billion which constitutes 23.5 per cent of the total value traded. Net institutional investment in-flow into DFM amounted to Dh790.2 million.
As for the sectors' contribution to trading volumes, the Real Estate and Construction sector ranked first in terms of the traded value, to reach Dh70.9 billion, or 44.3 per cent of the total traded value in the market. The banking sector ranked second at Dh31.6 billion or 19.8 per cent, followed by the Financial & Investment Services sector with Dh27.3 billion or 17.1 per cent, the Transportation sector with Dh12.4 billion or 7.7 per cent, the Services sector with Dh8.6 billion or 5.4 per cent, the Insurance sector with Dh4.8 billion or 3 per cent, the Telecommunication sector with Dh4.2 billion or 2.6 per cent, whilst other sectors shared the rest of trading volumes.