Brushing aside cues from weak Asian markets, the benchmark BSE Sensex continued its upward move by rising 35 points, but remained below the 26,000-mark amid buying in heavyweights.
Sectors such as metals, banking, capital goods, industrials and realty drove the momentum.
The sentiment was upbeat because of hopes of a likely breakthrough in the passage of the Constitutional AmendmentBill on goods and services tax (GST) in the current winter session of Parliament.
The 30-share Sensex resumed higher and was quoting at 25,993.96 at 1219 hours, a gain of 35.33 points, or 0.14 per cent, from its last close.
The NSE 50-share Nifty was also up 13.90 points, 0.18 per cent, at 7,897.70 at 1219 hours.
Hindalco rose the most, up 2.93 per cent, while Vedanta, Tata Steel, BHEL, L&T and ICICI Bank spurted too.
Meanwhile, foreign portfolio investors (FPIs) sold shares worth a net Rs 398.10 crore yesterday, as per provisional data released by stock exchanges.
Overseas, Chinese stocks led the decline in Asia after data showed that industrial companies' earnings in China slid 4.6 per cent in October. US markets were closed yesterday for Thanksgiving Day holiday.