Reuters Market Eye - The BSE Sensex on Tuesday rose as much as 0.5 percent to 26,999.97 and the Nifty gained as much as 0.43 percent to 8,072.20. The 30-share index hit a third consecutive record high while the broader Nifty touched its second straight life high.
Market sentiment was comforted after balance of payments data released on Monday evening showed it in surplus for the third straight quarter.
Current account deficit widened from the previous quarter but stayed within comfort.
Cipla Ltd surged as much as 8.7 percent to a record high after the drugmaker launched an anti-asthma inhaler in Germany and Sweden.
Other drugmakers also gained: Sun Pharmaceutical Industries was up 2.7 percent as of 12:31 p.m.
(Reporting by Abhishek Vishnoi)