PMI data for the manufacturing sector which is due on Thursday would also influence trading sentiments.
Finance Minister Arun Jaitley will be presenting first post-GST budget on February 1, 2018. This will also be the last full budget of the ruling NDA government before the general elections of 2019.
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Among major firms scheduled to come up with their earnings this week are HDFC, ICICI Bank, Bajaj Auto, NTPC, IOC, Reliance Communications and Tech Mahindra.
On expectations from the Budget 2018-19, IIFL Partner and Head of Research Amar Ambani said, "In the last full Budget before the 2019 general elections, capital market investors would be keen to know of the government's stand on two critical issues: fiscal consolidation and tax burden on capital market investments."
"Expectations are running high as it will be the first post-GST and last full-year Budget before the general elections in 2019. Markets expect the government to follow fiscal prudence path and increase infrastructure and rural spending," said V K Sharma, Head Private Client Group and Capital Market Strategy, HDFC Securities.
Last week, the 30-share Sensex added 538.86 points or 1.51 per cent; while the broader Nifty gathered 174.95 points or 1.60 per cent.