India went up by 30 notches to 100 on the World Bank ranking, released yesterday.
Also, eight core sectors growing to a six-month high of 5.2 per cent in September and positive leads from global market made investors bolder.
The 50-issue Nifty crossed the 10,400-level for the first time by gaining 67.85 points, or 0.65 per cent, to trade at a fresh life-time high of 10,403.15, surpassing its previous intra-day high of 10,384.50 touched on October 30.
The benchmark BSE Sensex too climbed 238.16 points, or 0.71 per cent, to trade at new record of 33,451.29, breaking its previous such reading of 33,340.17 reached on October 30.
Reflecting the market's bullish mood, all the sectoral indices led by banking and FMCG were trading in the positive zone, with gains of up to 1.36 per cent.
Big gainers included Bharti Airtel, ICICI Bank, Axis Bank, SBI and Reliance Industries, rising by up to 3.69 per cent.
Hong Kong's Hang Seng was up 0.66 per cent while Japan's Nikkei rose 1.42 per cent in their early trading. Shanghai Composite edged up 0.28 per cent.
The US Dow Jones Industrial Average ended 0.12 per cent higher yesterday.