The BSE Sensex on Wednesday scaled a fresh record high of 36,747, while the Nifty started above 11,050 mark, 100 points away from its record high.
Indian market was seen extending Tuesday's broad-based gains in the opening, tracking positive cues across global markets.
Investor sentiment was buoyed by strong corporate earnings posted by Federal Bank, Zee Entertainment, Ashok Leyland, ICICI Lombard and several others.
The Indian rupee too opened stronger at 68.42 against the US dollar after Tuesday's close of 68.45.
However, the benchmark indexes were later dragged by MidCaps. The Sensex dropped to 36,586.67, while the Nifty stood at 11,036.30.
Shares of HDFC Bank, HDFC, Zee Entertainment, UltraTech Cement, ONGC, Adani Ports, Eicher Motors, Sun Pharma gained on both indexes, while the laggards included Lupin, UPL, Hindalco, Ideal Cellular, Bharti Airtel, Vedanta, Tata Steel, Tata Motors on both indexes.
HUL slided on the second day after brokerages downgraded the stock's rating post June quarter results.
Among sectoral indices on the BSE, only oil and gas surged over a percent, while telecom traded below a percent. On the NSE, Nifty Media was leading with gains of 0.83 percent.
Shares of Punjab National Bank (PNB), Indian Overseas Bank (IOB), Andhra Bank, Corporation Bank and Allahabad Bank reacted positively on the government's capital infusion plan.