Sensex zoomed 529.82 points to hit record closing high of 40,889.23 while Nifty rose 159.35 points to 12,073.75 on Monday, 25 November.
Equity markets kicked off a fresh week in emphatic manner with benchmark indices Sensex and Nifty going past key psychological marks.
In the opening, the 30-share BSE index gained over 450 points to hit a new all-time high of 40857.73, while the broader 50-share NSE Nifty also gained over a percent to go past the 12,000-mark.
Among sectors, all sub-indices were trading in the green with Nifty Metal and Nifty Auto gaining the most.
Meanwhile, the rupee on Monday fell 2 paise to 71.73 against the US dollar in early trade, amid increased demand of the greenback by banks and importers.
Strengthening crude oil prices also impacted the rupee movement in the market, forex dealers said.
However, a higher opening in domestic equity markets and persistent foreign fund inflows restricted the rupee's fall, they added.