Markets may take cues from global factors this week: Experts

Prime Minister Narendra Modi on Aug 15 invited global businesses to make India their manufacturing base

In the absence of any major domestic trigger, stock markets are likely to take cues from global factors amid geopolitical concerns in Iraq and Ukraine this week, say experts.

Besides, trend in investment by overseas investors, movement of rupee against the dollar and crude oil price will continue to influence market movement.

"In absence of any strong triggers, Nifty may trade in narrow range and show indecision at higher levels. In coming sessions, 7,750 shall be crucial deciding level in near term, and the index is likely to witness further buying above this level," said Rakesh Goyal, Senior Vice President, Bonanza Portfolio Ltd.

Markets were closed on Friday for 'Independence Day' but traders keenly watched newly elected Prime Minister Narendra Modi's speech for clues to his reform plans.

"It was clear from his (Modi's) speech that the government

is business-friendly," said Jignesh Chaudhary, Head of Research, Veracity Broking Services.

Prime Minister Narendra Modi had on Friday while unveiling his economic agenda invited global businesses to make India their manufacturing base and launching a financial inclusion scheme for poor families.

Marketmen also said investors would continue to watch global events unfurl in the week ahead.

Reduced geopolitical concerns had fuelled buying in the markets last week.

Expecting the situation in Ukraine and Middle East to stabilise on reports that the Russian war planes have finished military exercises near Ukraine's border and an agreement between Israel and Hamas on Wednesday to decide to extend the temporary truce in Gaza for five more days, moments before the existing ceasefire was to expire, had boosted the domestic market sentiment.

The BSE S&P Sensex ended at a three-week high of 26,103.23 last week, showing a gain of 774.09 points or 3.06%.

In previous two weeks, it had fallen by 797.61 points, or 3.05%.