The Sensex rallied to a new high of 10,238, and finally closed with a gain of 56 points at 10,224.
The Nifty gained 15 points to close at 3,051.
Heavy buying towards the close at the NTPC counter saw the stock soar to a new all-time high of Rs 131, before settling with a smart gain of 5.4% at Rs 129. The counter clocked a volume of around 19.39 lakh shares.
HDFC advanced 3.5% to Rs 1,376.
While Cipla and Ranbaxy surged 3% each to Rs 559 and Rs 463, respectively, Dr.Reddy's, the major loser among Sensex stocks, declined 2.3% to Rs 1,358.
BHEL surged 2.4% to Rs 1,916. Tata Power and Tata Steel, too, jumped over 2% each to Rs 508 and Rs 411, respectively.
HLL moved up 1.8% to Rs 241. Grasim (Rs 1,677), Hindalco (Rs 156), Reliance Energy (Rs 607) and ONGC (Rs 1,174) gained over 1% each.
Larsen & Toubro (Rs 2,305), Bajaj Auto (Rs 2,544) and Gujarat Ambuja (Rs 86) declined over 1% each.