The 30-share index rebounded 81.01 points, or 0.31 per cent, to 25,888.11, with all sectoral indices led by consumer durables, healthcare, IT, FMCG, auto and capital goods stocks trading in the positive zone, rising by up to 1 per cent.
The barometer had lost 233.60 points in the previous session.
Also, the NSE Nifty was trading higher by 20.70 points, or 0.26 per cent, at 7,928.95.
Brokers said value-based buying at some blue-chip counters, which are heavily over-sold and covering-up of pending short positions by speculators ahead of the December futures and options expiry on Thursday supported the recovery.
Among the major gainers, pharma majors Cipla, Sun Pharma and Lupin rose up to 1.23 per cent.
IT majors TCS and Infosys and oil gaint RIL also advanced helping the Sensex trade in the green.
Adani Ports, HDFC Bank and Tata Motors also rose up to 1.21 per cent in early trade.
Elsewhere in Asia, Japan’s Nikkei was up 0.28 per cent in early trade today supported by buying in select shares, as global investors gradually returned to the market after the holiday break, while the benchmark Shanghai Composite Index shed 0.13 per cent.
Financial markets in Hong Kong are closed for a public holiday.
PTI