The BSE Sensex closed up 163.66 points, or 0.64% at 25,653.23 on Monday after trading in red in early session. The National Stock Exchange traded Nifty too ended up 45.85 points, or 0.59% at 7,860.75.

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According to a media report, the equity markets surged after positive global cues as Asian and European markets rallied. Also, India's wholesale price index (WPI), or wholesale inflation rose to 0.34% in April as against negative 0.85% in March.

The top gainers on the 30-share barometer, Sensex were Dr Reddy's Laboratories (3.16%), ITC (3.13%), HDFC Bank (2.01%), Hindustan Unilever (1.85%) and Tata Consultancy Services (1.20%). While, among top losers were Bank of Baroda (8.23%), State Bank of India (4.22%), Cipla (1.47%), Adani Ports (1.38%), ICICI Bank (1.13%).

Meanwhile, as per India Meteorological Department (IMD) latest forecast on Sunday, the onset of monsoon in Kerala may get delayed by about a week.