New Delhi, Sept. 17 -- The Indian stock market closed higher during Wednesday's trading session, September 17, led by optimism over ongoing trade talks between India and the US and hopes that the US Federal Reserve will announce a rate cut later in the day, which drove the benchmark indices for the second straight day and pushed them to a three-month high.

The Nifty 50 ended the session up 0.36%, closing above the 25,300 mark at 25,330, while the S&P BSE Sensex surged 0.38% to finish at 82,693. Broader markets, however, ended mixed, with the Nifty Midcap 100 rising 0.08% and the Nifty Smallcap 100 rallying 0.70%.

Sector-wise, the Nifty PSU Bank led the gains, rising 2.61%, followed by Nifty IT and Oil & Gas, which added 0.65% and 0.86%,...