The 30-share index was trading higher by 108.84 points, or 0.41 per cent, at 26,459.01, with sectoral indices led by metal, oil & gas, PSU, consumer durables, capital goods and realty stocks trading in the positive zone, rising by up to 1.10 per cent.
The gauge had gained 490 points in the previous two sessions.
The NSE Nifty rose by 44.85 points, or 0.55 per cent, at 8,171.75.
Shares of Tata Steel was trading higher by 1.87 per cent at Rs 414.70 after the company said it has inked an agreement with Liberty House to negotiate sale of UK Speciality Steel business for Rs 854 crore.
Brokers said increased buying in select blue-chips and a mixed trend at other Asian markets amid overnight losses on Wall Street and in Europe influenced sentiment.
Shanghai Composite Index was up 0.36 per cent, while Japan’s Nikkei was down 0.19 per cent in early trade today.
Hong Kong’s Hang Seng shed 0.07 per cent.
The US Dow Jones Industrial Average ended 0.28 per cent lower in yesterday’s trade.
PTI