This is a bit of a minefield, generally the "screen" component of a cable should be grounded at one end (normally the equipment at the other end is bonded by an earth, the screen should not be relied on as a bonding (earthing) conductor.
For example: a signal cable from a sensor is a two core screened cable, the screen should be connected at one end (normally the control panel) any junction boxes in-between the screen should be carried through as an isolated connection. The equipment should be bonded to earth (where applicable) using a earth designated cable capable of withstanding the fault current.
In other words, either use a 3 core screened cable (2+E+screen) or external bonding. This eliminates the possibility of a large fault current using the screen as a path, this is what I was taught in my early days.
An example of this is when I commissioned a oven using SLC500 and RIO, the RIO contained analogue & digital signals, the installer connected the screens at both ends, the remote panels were also bonded to the main panel with the appropriate earth bonding cables, we were experiencing quite large fluctuations on all analogue signals, disconnecting the earth bonding(not by me but the customers own engineer cleared the most of the errors), I re-connected the bonding cables & disconnected the screens at the RIO, all was good. This also applies to high speed transmission lines, perhaps read up on "Reflections in transmission lines", this may also apply if noise is present.