The 50-share index ended up 28.70 points, or 0.28 percent, at a new peak of 10,452.50, surpassing its previous closing high of 10,440.50 hit on November 1.
Indian shares look set to open flat to slightly higher on Friday as investors digest a new USA tax reform plan and look forward to the all-important U.S.jobs report due out later in the day.
On Thursday, the benchmark indices closed on a flat-to-negative note on the back of negative global cues and selling pressure in stocks of index heavyweights like State Bank of India (SBI), ITC, Hindustan Unilever (HUL) and ONGC, among others.
The Sensex surged 112 points to end at a fresh high of 33,686 on Friday.
The BSE market breadth was bearish - 1,451 declines and 1,331 advances.
The BSE index Sensex opened at a record high of 33,667.34 against the previous close of 33,573.22 and the NSE index Nifty opened at 10,451.45 against the previous close of 10,422.80.
According to provisional data released by the stock exchanges, foreign portfolio investors (FPIs) bought shares worth a net Rs 1,032.88 crore while domestic institutional investors (DIIs) sold shares to the tune of Rs 456.51 crore yesterday. "The US Fed kept interest rates unchanged on the expected line, but its commentary on the US economy has virtually confirmed a December rate hike", he added.
For the second straight week, the Sensex rose, notching up a significant gain of 528.34 points, or 1.59 per cent. Among them, capital goods gained the most by 1.18 per cent, followed by realty 0.7 per cent, consumer durables 0.5 per cent and infrastructure 0.43 per cent, while healthcare index was down 0.21 per cent and IT 0.02 per cent.
Banking sub-indices rose around 0.5 per cent in intraday trade.