Markets may see volatility; wait for Maruti, ICICI Bank results

Quarterly numbers from blue-chips including ITC, Maruti Suzuki and ICICI Bank would set the tone for the stock market, which is expected to remain volatile this week in view of derivatives expiry, say experts.

Besides, Parliament's proceedings would also be keenly watched for the fate of key reforms bills including GST.

"Movement of index in near-term will depend on first quarter results of large-cap companies like Maruti, ICICI Bank, HDFC, Tech Mahindra, PNB," said Vivek Gupta, CMT - Director Research at CapitalVia Global Research.

Markets may see volatility amid futures and options expiry on Thursday, he added.

"The market is not finding any supporting factor to hold its strength. It is depending on Q1FY16 results for providing support to the earnings outlook and Parliament session to kick start reforms, but the market's confidence is now in question," said Vinod Nair Head-Fundamental Research of Geojit BNP Paribas Financial Services.

NTPC and L&T are among other blue-chips to report earnings this week.

"The reaction to Reliance results will largely decide the mood of the market early this week," said Jimeet Modi, CEO, SAMCO Securities.

Reliance Industries on Friday reported highest quarterly profit in seven-and-a-half years on strong refining and petrochemical margins.

Standalone net profit, at Rs 6,318 crore or Rs 19.5 per share in April-June was 11.8 per cent higher than Rs 5,649 crore, or Rs 17.5 a share, in the same period a year ago.

"At present, it seems that participants have started feeling apprehensive about the fate of reforms and growth prospects of the economy as a whole, considering the hindrance at every step. Meanwhile, time wise correction in the markets will continue and index would further consolidate in a broader range," said Jayant Manglik, President Retail Distribution, Religare Securities.

Continuing last week's bias, this week is going to be volatile one due to scheduled derivative expiry of July month contracts, Manglik added.

"Improvement in monsoon is what market players are hoping currently as it may result in further rate cut in the next monetary policy review," he noted.

Last week, the benchmark BSE Sensex ended at 28,112.31, down 351 points.