The 30-share barometer rose 110.69 points, or 0.43 per cent, to 25,686.90 with stocks of realty, capital goods, power, PSU, metal and oil & gas sectors leading the gains.
The index had jumped 102.32 points in the previous session.
Similarly, the National Stock Exchange index Nifty moved up by 8.30 points, or 0.11 per cent, to 7,658.20.
Brokers said buying activity gathered momentum as the factory output growth rebounded to 13-month high of 3.4 per cent in April and retail inflation eased to 8.23 per cent in May on account of falling prices of essential food items.
Among other Asian markets, Hong Kong's Hang Seng fell by 0.32 per cent while Japan's Nikkei shed 0.87 per cent in early trade today.
The US Dow Jones Industrial Average ended 0.65 per cent lower in yesterday's trade.