The Sensex closed at a record level of 22,054 points, while the Nifty also closed at a historic level of 6583.50 points, as investors continued to bet on a Modi led NDA government taking charge at the centre.
Banking stocks were leading the set of gainers on the bourses with ICICI Bank surging 3.5 per cent, while other notable gainers from the banking space were IndusInd Bank, Kotak Mahindra Bank and Punjab National Bank.
The PSU banking space also saw buying interest with notable gainers being Canara Bank, Bank of India and Bank of Baroda being the clear winners.
Software stocks were subdued in trade with HCL Tech dropping more than 1 per cent, while Infosys too lost ground.
NTPC and Wipro were the other stocks that were subdued in trade. GAIL was the star performer along with ONGC as investors lapped-up government owned entities.
One sector that was weak in trade today was the pharma sector with almost all of the stocks ending the day lower.
Sun Pharma, Glaxo Smithkline, Dr Reddy's and Piramal were all among the losers. Meanwhile, markets across Asia ended the day sharply higher led by gains in the Japanese Nikkei and the Hong Kong's Hang Sang. Almost all of the Asian markets ended the day higher on strong global cues.