Markets are likely to remain under pressure in the holiday-shortened week ahead with investors tracking the Yes Bank crisis and the coronavirus outbreak which have cast a shadow over trading sentiment, analysts said.

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Equity markets would remain closed on Tuesday for 'Holi'.

Several key macroeconomic data announcements are also scheduled during the week. Industrial production and the retail inflation rate will be released on Thursday and WPI inflation on Friday.

"Given the volatility and fearful psychology, market participants are likely to drift away and reduce their exposure to equities till clarity emerges on financial distress (Yes Bank and Covid-19)," Jimeet Modi, Founder & CEO, SAMCO Securities & StockNote said.

Markets are expected to remain low with subdued interest and little activity from active investors, he added.

"Indian equity market continued its sharp slide for the second consecutive week on fears of fast-spreading coronavirus cases outside China and Yes Bank crisis and its repercussions on the financial system. Till we see a semblance of normalcy returning, markets are likely to remain under pressure and highly volatile. Fluctuations in FII equity flows can also add to volatility," said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services.

Religare Broking, VP - Research, Ajit Mishra said, "We continue to maintain our cautious view on Indian markets and expect volatility to remain high in the near term. The updates on spread of coronavirus cases would be the single biggest factor dictating global markets going forward. On the domestic front, updates on resolution plan for Yes Bank along with spread of coronavirus cases would be actively tracked by traders and investors."

During the last week, Sensex plunged 720.67 points or 1.88 percent.

The Sensex had plummeted 894 points on Friday as regulatory curbs on Yes Bank triggered broad-based selling.

Yes Bank tanked over 55 percent on Friday after the RBI placed the lender under a moratorium, capping deposit withdrawals at Rs 50,000 per account for a month and superseding its board.

Meanwhile, the Enforcement Directorate on Sunday arrested Yes Bank co-founder Rana Kapoor under money laundering charges.

"Another bank bites the dust. This time its Yes Bank - one of the large private sector banks. RBI has stepped in and leading state-owned institutions are patching up a bailout plan for the bank and more importantly, safeguard the interest of depositors. However, the already weak sentiments have been dented further.

"The series of accidents in the Indian financial sector sends out a very poor message to foreign investors. The negative bias is expected would sustain in the near term," said Gaurav Dua, Senior VP, Head - Capital Market Strategy & Investments, Sharekhan by BNP Paribas.

On the global front, equity markets have tumbled on fears that the coronavirus epidemic will tip the world economy into a recession.

"The market sentiments could revive only if global markets settle down and fears of global slowdown recede soon," said Deepak Jasani, Head Retail Research, HDFC Securities.