DUBAI: UAE stock markets surged because of optimism toward fourth-quarter earnings, while Qatar booked its longest winning streak in over three years as it rose above 11,000 points for the first time since 2008.

Property shares led gains in Dubai, pushing the main index up 1.3 percent to a new five-year high. Union Properties surged 9.6 percent.

Shares in Shuaa Capital climbed 4.0 percent after the investment bank swung to a profit in the fourth quarter of 2013 and for the full year. It made a full-year net profit of 2.8 million dirhams ($769,000), compared to a loss of 59 million dirhams in 2012.

"People are actively looking at Q4 numbers and dividends; Shuaa came out with a profit for the first time in years and that's being seen as a positive," said Sanyalaksna Manibhandu, senior analyst at NBAD Securities.

Manibhandu said some UAE banks might book provisions in their fourth-quarter results to allow for the possible cost of meeting new regulations. The UAE's central bank issued rules in late 2013 on banks' exposure to government-related entities and residential mortgages.

Abu Dhabi's index rose 0.9 percent, also hitting a five-year high.

In Qatar, the index gained 0.9 percent to 11,020 points, breaking the 11,000-point level for the first time in five years. The market rose for a tenth consecutive trading day, its longest winning streak since November 2010.

Qatar is the best-performing regional market so far this year with a gain of 5.2 percent. Foreign institutional investors have been net buyers, according to bourse data.

Investors are positioning for earnings growth and dividends, which are among the highest in the region, and also ahead of MSCI's upgrade of Qatar to emerging market status, which will be implemented in May. Qatar is expected to see an inflow of about $500 million from funds benchmarked against MSCI's emerging market index.

Shares in major Omani construction firm Galfar Engineering fell 3.2 percent, but recovered most of the day's losses, after two executives of the company were convicted in a corruption case. The stock saw its highest daily trading volume since December 2007.