The Bombay Stock Exchange benchmark Sensex shot up by over 306 points to 10,654 points, the highest level in about six months, in early trade on Monday, extending its upward journey for the fourth straight session on funds buying.
The Sensex, which had gained nearly 780 points in the past three sessions, gathered another 306.06 points, or 2.95 per cent to trade at six-month high of 10,654.89 in opening trade, highest since October 21 last year with oil and gas, realty, banking and metal sector stocks leading the rally.
The wide-based National Stock Exchange's Nifty also rose by 92.85 points, or 2.89 per cent, to 3,303.90.
Stock brokers said rally on the other Asian bourses on expectations of further stimulus measures later this year and firming trend on the US markets, boosted trading sentiment.
The country's most valuable company, RIL, stocks shot up by 3.28 per cent to Rs 1,717 on massive buying by funds along with covering-up of short positions by speculators.
Other gainers were RCom by 7.29 per cent to Rs 210.45, Reliance Infra by 4.86 per cent to Rs 603.25, State Bank of India by 4.16 per cent to Rs 1,193, ICICI Bank by 5.29 per cent to Rs 379.30, Sterlite Industries by 4 per cent to Rs 387.10, Tata Steel by 5.09 per cent to Rs 236.30 and Tata Motors by 5.15 per cent.
Meanwhile, most of the Asian markets were trading with gains up to three per cent in early trade on Monday.