The BSE Sensex rose 0.60 after market heavyweight Hindustan Unilever soared and bullish sentiment prevailed.
The 30-share benchmark index ended 116.68 points higher at 19,504.18 with 18 of its components closing in the green.
The broader 50-share National Stock Exchange (NSE) Nifty index ended 0.44 percent or 26.10 points higher at 5,930.20 on Monday.
Hindustan Unilever soared over 17 percent after its parent firm offered to increase its stake while the government clarified tax rules bolstering sentiment.
Meanwhile in the New Delhi bullion market, gold tumbled by Rs 250 to Rs 27,950 per 10 grams while silver also declined by Rs 265 to Rs 46,735 per kg.