Indian shares posted modest gains on Wednesday as investors keenly awaited the Federal Reserve's monetary policy decision due later in the day for further guidance.
While the Fed is largely anticipated to keep interest rates unchanged, the accompanying statement could provide insights into the timing and pace of potential interest rate reductions in the coming months.
According to the CME FedWatch Tool, traders have fully priced in a rate cut for September.
Investors were also closely monitoring oil price movements following the news of Israel's assassination of a high-ranking Hamas leader in Iran, stoking fears of escalating conflict in the region.
Oil prices rose nearly 3 percent in European trading after settling at a seven-month low on Tuesday, amid concerns over demand from China.
The 30-share BSE Sensex concluded the session at 81,741.34, gaining 285.94 points, or 0.35 percent, from its previous close.
Meanwhile, the broader NSE Nifty index rose by 93.85 points, or 0.38 percent, ending at 24,951.15.
In the Nifty pack, NTPC, Asian Paints, HDFC Life, JSW Steel, and Maruti Suzuki India surged between 2 and 4 percent. Conversely, Britannia Industries, Dr. Reddy's Laboratories, and Apollo Hospitals Enterprises each declined by around 1 percent.
