Besides, improving macroeconomic indicators, monsoon progress and positive cues from global markets supported the buoyancy in domestic indices, brokers said.
Shares of Reliance Industries (RIL) rose 2% after the company posted better-than-expected results on Saturday. HDFC shares gained 3% after it poster a higher consolidated profit. HDFC Bank scrip, however, slipped even as it reported 21% growth in June quarter profit.
The earnings season had started on a good note with tech giants Infosys and TCS exceeding investor expectations, brokers added.
The BSE Sensex resumed higher at 25,776.54 and firmed up further to 25,861.15 on initial buying coupled with higher global cues. However, it lost some momentum due to fag-end selling pressure as Asian markets turned lower amid a weak start in the European markets.
The index ended at 25,715.17, showing a gain of 73.61 points or 0.29%. This is its best closing since July 7, when it crossed 26,100 mark. With Monday's gain, the Sensex has gained over 700 points in five straight sessions.