The index had lost 230.86 points in the previous session on Friday due to profit-booking in bluechips.
The 30-share index gained 113.19 points, or 0.38 per cent, at 29,344.60 as stocks of capital goods, banking, metal, tech and IT sectors, led the recovery.
Also, the National Stock Exchange index Nifty recovered by 26.60 points, or 0.30 per cent, at 8,860.20.
Brokers said apart from optimistic buying by investors ahead of the Budget, a mixed trend at other Asian markets after Eurozone ministers agreed to extend Greece's bailout by four months, influenced trading sentiments here.
The US Dow Jones Industrial Average ended 0.86 per cent higher in Friday's trade.