Sensex jumps over 170 points, Nifty regains 10,700

New Delhi: Stock markets extended rally on Monday with the NSE Nifty regaining the 10,700 level ahead of the crucial RBI-government meeting sheduled later in the day.

The BSE Sensex jumped 172.56 points or 0.49 percent at 35,629.72 while the NSE Nifty edged higher by 32.45 points or 0.30 percent at 10,714.65.

Finance Ministry nominees and some independent directors are expected to take on Governor Urjit Patel and his team later in the day over issues ranging from micro, small and medium enterprises (MSME) credit to the central bank's reserves, though both sides are in favour of reaching a common ground.

The rupee depreciated by 9 paise to 72.02 against the US dollar in early trade Monday at the interbank foreign exchange, halting its four-day winning streak. Foreign institutional investors (FIIs) bought shares worth Rs 844.82 crore on Friday, as per provisional data.

Asian shares crept cautiously higher on Monday, a Reuters report said. MSCI`s broadest index of Asia-Pacific shares outside Japan tacked on 0.1 percent and Chinese blue chips 0.5 percent. Japan`s Nikkei gained 0.4 percent, but E-Mini futures for the S&P 500 slipped 0.3 percent.

With Agency Inputs