Russia-Ukraine war, Covid situation in China major drivers for markets this week: Analysts

Last week, the BSE benchmark Sensex jumped 2,313.63 points or 4.16 per cent in a holiday-shortened week. 

New Delhi: Stock markets will be guided by global factors such as the Russia-Ukraine war, the COVID-19 situation in China and crude oil prices in absence of major domestic events this week, analysts said.

Stock markets are expected to keep their winning momentum this week as FIIs may come back aggressively fuelling a further rally in the market, they added.

"In absence of any major event, global cues viz the Russia-Ukraine war, the COVID situation in China and movement of crude will remain in focus. Besides, participants will be also be eyeing FIIs flow for cues," said Ajit Mishra, VP Research, Religare Broking.

Any news of escalation in the Russia-Ukraine tussle and deterioration of the COVID situation in China could again dent the sentiment, he added.

"Our markets are in a much better shape compared to most of the emerging markets and we have witnessed a strong rally from lower levels therefore there might be some feeling of missing out among FIIs and they may come back aggressively in the Indian markets that may fuel a further rally in our market," Santosh Meena, Head of Research, Swastika Investmart Ltd, said.