The 30-share barometer gained 121.41 points, or 0.61 per cent, to 19,902.60. The index had lost almost 224 points in the previous two sessions.
All sectoral indices, led by auto and banking, trading in the positive zone with a gains up to 0.90 per cent.
Similarly, the wide-based National Stock Exchange index Nifty moved up by 39.60 points, or 0.66 per cent, to 6,038.50.
Brokers said a firming trend in the Asian region after US stocks rose to five-year high on Friday on upbeat jobs and manufacturing data, mainly buoyed the trading sentiments.
Meanwhile, in Asia, Hong Kong's Hang Seng index rose by 0.53 per cent, while Japan's Nikkei up by 0.81 per cent in early trade. The US Dow Jones Industrial Average ended 1.08 per cent higher in previous session on Friday.
