The 30-share barometer, which had lost nearly 620 points in the last four sessions, recovered by 65.09 points, or 0.40 per cent, to 16,358.07 points with realty, metal and auto sector stocks leading the recovery.
The wide-based National Stock Exchange index Nifty also moved up by 18.15 points, or 0.36 per cent, to 4,947.05.
Brokers said emergence of buying by funds and retail investors at existing lower levels amid a firm trend in Asian markets and hopes of easing inflation data, to be released today, helped the trading sentiment to improve.
In the Asian region, Hong Kong's Hang Seng Index rose by 0.07 per cent, while Japan's Nikkei index was up by 0.10 per cent in the morning trade.