Mumbai | Benchmark equity indices Sensex and Nifty closed higher for the fourth day in a row on Monday following a rally in global markets and upbeat investors' sentiment after the RBI's jumbo 50 basis points rate cut.

The 30-share BSE Sensex climbed 256.22 points or 0.31 per cent to settle at 82,445.21, driven by buying in bank stocks. During the day, it jumped 480.01 points or 0.58 per cent to 82,669.

The 50-share NSE Nifty surged 100.15 points or 0.40 per cent to 25,103.20.

Optimism over a new round of trade talks between the US and China also drove the markets higher.

Among Sensex stocks, Kotak Mahindra Bank, Bajaj Finance, Axis Bank, Power Grid, IndusInd Bank, Maruti, Bajaj Finserv and NTPC were the biggest gainers.

However, Eternal, ICICI Bank, Titan, Mahindra & Mahindra, Adani Ports, Tata Steel and Bharti Airtel were among the laggards.

In Asian markets, South Korea's Kospi, Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng settled in positive territory.

European markets were trading marginally lower.

US markets ended sharply higher on Friday.

Foreign Institutional Investors (FIIs) bought equities worth Rs 1,009.71 crore on Friday, according to exchange data.

Global oil benchmark Brent crude went up 0.30 per cent to USD 66.67 a barrel.

On Friday, the 30-share BSE Sensex ended the day higher by 746.95 points or 0.92 per cent at 82,188.99. The Nifty reclaimed the 25,000-level and climbed 252.15 points or 1.02 per cent to settle at 25,003.05.