PTI New Delhi

The decision to hike US H-1B visa application fee to USD 100,000, trade talks and the GST rate cut will be the key drivers for stock market movement this week, analysts said. Besides, trends in global equity markets would also be tracked by investors.

"This week, markets will first react to the US imposing an annual fee of USD 100,000 on H-1B visas, announced late Friday. While export-driven sectors are already grappling with tariff-related pressures, this move could further weigh on IT services exporters at a sensitive time when trade negotiations remain underway," Ajit Mishra - SVP, Research, Religare Broking Ltd, said.

Globally, investors will be closely monitoring the performance of US markets in the aftermath of the Federal Reserve's rate cut, he added. "This move (the US decision to hike H-1B visa application fee to USD 100,000) could sharply increase costs for US clients and reduce demand for Indian tech talent, directly impacting the revenue visibility of large IT exporters such as TCS, Infosys, and Wipro," Pravesh Gour, Senior Technical Analyst, Swastika Investmart, said.

On the domestic front, traders will also monitor rupee movement and crude oil prices, both of which remain key drivers for Indian equities, he added.

Meanwhile, Commerce and Industry Minister Piyush Goyal will lead an official delegation to the US for trade talks on September 22, an official statement said on Saturday. The delegation plans to hold talks with US team to take forward discussions with a view to achieve early conclusion of a mutually beneficial trade agreement, it said.

Markets would also track trading activity of foreign investors. Foreign Institutional Investors (FIIs) bought equities worth Rs 390.74 crore on Friday, according to exchange data. On the global front, focus now shifts to key US macroeconomic data, including GDP, manufacturing & services PMI, and PCE Price Index.