A stronger global market driven by hopes of a Greece deal kept up the pace.
The 30-share index, which had gained 375.72 points in the past two sessions, gained another 95.09 points, or 0.33 per cent, at 28,115.96.
All the sectoral indices led by FMCG, healthcare and oil & gas were in the positive terrain.
On similar lines, the 50-share Nifty moved up 24.45 points, or 0.28 per cent, to 8,477.50.
Brokers said continued buying by participants, backed up by a solid trend at other Asian markets on hopes of an agreement over Greece, and overnight gains in US markets on strong economic data lifted trading sentiment.
Among other Asian markets, Hong Kong's Hang Seng index rose 0.41 per cent while Japan's Nikkei was trading 1.16 per cent higher in early trade.
The US Dow Jones Industrial Average ended 0.79 per cent higher in yesterday's trade.