Mark mood check: Crude, US-Iran talks and economic data to drive Dalal Street this week

Dalal Street is likely to begin the holiday-shortened week with investors tracking a mix of geopolitical developments, oil prices and global financial conditions. According to analysts, developments in US-Iran diplomacy and movements in crude oil will be among the key factors determining market sentiment.The market is expected to remain cautious as geopolitical developments, crude oil prices and global bond yields continue to influence the near-term direction. Equity markets will remain closed on Friday for Mahatma Gandhi Jayanti."Globally, developments around US-Iran diplomacy and crude oil prices will remain critical. Any progress on a framework for reopening the Strait of Hormuz could ease energy prices and provide some relief to India's import bill and the rupee, while renewed geopolitical tensions could keep volatility elevated," Ajit Mishra, SVP, Research, Religare Broking, said.The direction of oil prices will therefore remain closely linked to developments in the US-Iran talks.