Another record close on Wall Street after the release of the US Fed minutes fuelled the uptrend.
The 30-share Sensex was higher by 112.53 points, or 0.35 per cent, at 31,946.52. Healthcare, realty, IT, capital goods, oil and gas and auto stocks were in the pink of health, rising by up to 0.86 per cent.
The gauge had lost 90 points yesterday.
The NSE Nifty too rose 36.60 points, or 0.36 per cent, to 10,021.40.
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In the Sensex kitty, Sun Pharma topped the gainers list by climbing 2.42 per cent to Rs 538.50 after the company said it has received establishment inspection report (EIR) from the US health regulator for its Dadra facility.
Stock of the country's largest software exporter, TCS, was trading higher by 0.83 per cent at Rs 2,521.15 ahead of its September quarterly earnings slated later in the day.
Japan's Nikkei rose 0.47 per cent while Hong Kong's Hang Seng moved up 0.17 per cent in early trade today. China's main Shanghai Composite, however, shed 0.24 per cent.
The US Dow Jones Industrial Average ended at a record high by surging 0.18 per cent yesterday.
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