The Sensex surged 2,708.6 points, or 3.4%, in July.
The 50-blue-chip index gained 940.6 points, or 3.9%, during the month.
ONGC, HDFC Life and Infosys were the top gainers for the month, each rising 19-22%.
SBI Life, Tata Motors, ITC, BPCL, Sun Pharma, HCLTech and TCS - rising between 12% and 17.5% - were also among the top 10 gainers in the basket.
Axis Bank, Tata Steel and Bajaj Finance were the worst hit among the 11 losers in the pack, finishing the month about 4-8% lower.
Index heavyweights HDFC Bank and RIL were also among the top five losers, falling around 4% each for the month.