Logging its best single-day gain in a month, the Sensex at the Bombay Stock Exchange surged 451 points, or 2.2 percent, to close at 20,851 on Monday, on buying by funds and on optimism over Chinese reforms and continued hopes of Fed sticking to its economic stimulus.

The Nifty at the National Stock Exchange jumped 133 points, or 2.2 percent, to end at 6,189.

Stock markets in China, Hong Kong, South Korea and Singapore advanced between 0.1 percent and 2.9 percent.