Banking, finance and pharma counters hogged the limelight, while cement and FMCG stocks succumbed to profit-taking.
The ongoing quarterly earnings season would also be in focus directing the movement of indices.
Reliance shares rose 1.7% after Indian stock exchanges on Wednesday gave the go-ahead for Future Group's $3.4 billion deal to sell its retail assets.
On the Sensex chart, HCL Tech was the top gainer, soaring around 6 per cent, followed by Infosys, HDFC, Bajaj Auto, Maruti, Tech Mahindra and M&M.
On the earnings front, the release of Q3FY21 results will commence from the next week. Investors expect robust earning figures in the back of healthy festive season sales and opening up of the economy.
Breaching the 45,000-mark for the first time, the 30-share BSE Sensex surged 446.90 points or 1 per cent to finish at 45,079.55. Intra-day, it touched a lifetime peak of 45,148.28.
The 30-share BSE Sensex soared 194.98 points or 0.45 per cent to close at a record 43,637.98. Intra-day, it hit its all-time high of 43,830.93.
SBI on Wednesday reported an upbeat September-quarter profit and said it expected stronger annual credit growth, sending its shares 4.35% higher and lifting the Nifty banking index by 1.6%.
Always expect volatility and losses in markets in the short term. Do not borrow to invest in stock markets. Invest long term.
The Nifty and the Sensex, which rallied more than 2% earlier on Tuesday on hopes of a liquidity boost from the U.S. corporate bond-buying program, fell 0.5% after grim reports from the border.