The Bombay Stock Exchange benchmark Sensex gained over 196 points and regained the 10k level in early trade on Monday on increased buying by funds, triggered by strong global cues.

The 30-share index, which moved up by 230.07 points in the previous session, gathered another 196.53 points at 10,160.82 following surge in heavy-weight stocks of oil and gas, metals, capital goods and banking sectors.

The wide-based National Stock Exchange's Nifty also rose by 65.40 points, or 1.70 per cent, at 3,038.40 points.

Market men said sentiments were upbeat on China's massive economic stimulus package of $586 billion in its biggest move to stop the global financial crisis from hitting the world's fourth-largest economy.

Most valued, Reliance Industries stocks gained Rs 18.60 or 1.53 per cent at Rs 1,236.45, while banking major State Bank of India gained Rs 9.45 or 0.76 per cent at Rs 1,258.70.

Besides, shares of BHEL, L&T, Reliance Infra, RCom, Bharti Airtel, Infosys Technologies, Satyam Computers and Wipro also moved up.

Meanwhile, US's Dow Jones Industrial Average closed 2.85 per cent higher on Friday, while Hong Kong's Hang Sang rose by 5.5 per cent and Japan's Nikkei gained 5.20 per cent in early trade today.