Sensex likely to remain range-bound this week

The stock market is likely to be range-bound this week, with investors adopting a cautious approach amid fears that rising interest rates have hurt corporates' Q2 earnings and a lack of clarity on debt woes in Europe and the slowdown in the US, say experts.

Analysts said with the quarterly results season around the corner, investors are opting to play it safe and may continue to do so going ahead as well, fearing that rising rates could hurt corporates' toplines and bottomlines.

"Corporate earnings, monthly auto and cement sales volumes, IIP numbers, monthly inflation and the RBI policy meet will be among the few important events to keep an eye on over the next few weeks," IIFL Head of Research Amar Ambani said.

Investors will also closely watch developments in the eurozone regarding Greece, marketmen said.

Expressing their views on the corporate earnings, market players said the quarterly results are going to hog the limelight in the market. But earnings expectations are not much this time, they added.

"The US market ended with losses on Friday and it is likely that Indian equity markets may see a gap down opening on Monday. During the week, global factors, mainly the Greece issue, and on the domestic front, corporate earnings, will dictate the trend in the market," Geojit BNP Paribas Research Head Alex Mathews said.

The Dow Jones Industrial Average lost 2.16%, the Standard & Poor's 500 fell by 2.5% and the Nasdaq Composite declined by 2.6% on Friday.

The earnings season will officially kick-start from October 12, with IT bellwether Infosys announcing its results.