The Nifty rose 0.7% on Monday to close above 10,000 points for the first time in more than a month, as auto makers such as Maruti Suzuki India Ltd gained after an increase in the goods and services tax was less wide-ranging than expected.
The BSE Sensex climbed 0.61% to 31,882.16, while the broader NSE Nifty rose 0.72% to 10,006.05, closing above the 10,000 level for the first time since August 7.
Shares of Maruti Suzuki closed 2.15 percent higher. Meanwhile, IndusInd Bank Ltd rallied 5.6% after saying it had entered into exclusive talks with Bharat Financial Inclusion Ltd for a potential merger.