Dubai continues to lead among Gulf Cooperation Council (GCC) equity performers this year, according to a recent report.

The equities market in Dubai has shown a notable gain of 19.7 percent in 2023, outperforming other Gulf bourses.

Saudi Arabia follows as the second-best performer, registering a gain of 6.7 percent, making it the only other GCC index in positive territory for the year.

Dubai’s robust performance is attributed to the government’s diversification program and its increasing attractiveness as a secure investment amid geopolitical uncertainties.

The GCC equities, as a whole, experienced their first positive month in four months during November, largely driven by optimism in global markets.

The MSCI GCC index recorded a gain of 5.2 percent in November, with Dubai ranking as the third-biggest gainer among Gulf indices, achieving a three percent increase during the month.

Qatar emerged as the best-performing market in the GCC, with a return of 5.4 percent, followed by Saudi Arabia and Dubai with gains of 4.6 percent.

Sector-wise, nearly all regional indices saw gains in November, with the exception of the GCC Insurance index, which experienced a marginal drop of 0.4 percent.

Leading the gainers were the pharma & biotech sector with a 21.4 percent increase, followed by consumer durable & apparel and healthcare indices with gains of 14.0 percent and 11.7 percent, respectively.

Notably, large-cap sectors like banking exhibited substantial gains of 6.6 percent, while energy and materials indices showed relatively smaller gains of 1.8 percent and 4.3 percent, respectively.

The performance of the DFM General Index in Dubai during November was characterized by mixed results among sector indices.

Despite declines in four sector indices, gains in the real estate sector (+10.0 percent) and the financial sector (+2.5 percent) propelled the general index into positive territory.

The double-digit gain in the real estate sector was mainly driven by the significant share price increases of Deyaar Development (+14.0 percent) and Emaar Development (+10.2 percent).

Among decliners, the communication services index recorded a 3.9 percent decline, while the consumer staples index registered a 2.5 percent drop.

Monthly stock performance data from Bloomberg highlighted National General Insurance as the top gainer with a 44.9 percent increase in share price, followed by Deyaar Development and Dubai Financial Market with gains of 13.9 percent and 11.5 percent, respectively.

On the decliners’ side, Takaful Emarat Insurance led with a share price decline of 15.9 percent, followed by Aramex and Arabian Scandinavian Insurance Company with share price declines of 14.3 percent and 9.7 percent, respectively.

In Abu Dhabi, the FTSE ADX index rebounded with a 2.3 percent surge in November after two consecutive months of declines, closing the month at 9,559.27 points.

This positive performance contributed to the index’s year-to-date performance, which reached (-6.4 percent) by the end of the month.

Eight out of the ten sectors on the exchange recorded gains during November, with the Health Care index leading with a 12.7 percent growth, followed by the consumer staples index with a 10.1 percent monthly increase.

Conversely, the consumer discretionary index recorded a 6.6 percent decline, primarily driven by a 10.6 percent slide in shares of Abu Dhabi National Hotels.

Last Updated: 05 December 2023