Indian frontline indices ended Monday’s trading session with modest gains, despite reaching fresh record highs. Traders remained cautious ahead of the Federal Reserve’s upcoming policy meeting, where a rate cut is anticipated for the first time since 2020.

The Nifty 50 closed with a 0.08% gain at 25,377 points, having reached an all-time high of 25,445 points during the session. The S&P BSE Sensex ended with a 0.13% gain at 83,184 points, also hitting a new peak.

Among the 50 Nifty constituents, 26 stocks ended in the positive, with NTPC leading at 2.6%. Other notable gainers included JSW Steel, Hindalco Industries, Shriram Finance, Larsen & Toubro, ICICI Bank, Axis Bank, and Eicher Motors, all rising between 1% and 1.7%.

Several stocks, including JSW Steel, LTIMindtree, HCL Technologies, and Tech Mahindra, reached new 52-week highs. While the main indices saw modest gains, mid- and small-cap stocks continued their strong performance for the second consecutive session.

The Nifty Midcap 100 index rose by 0.40% to 60,259 points, maintaining its position above the 60,000 mark for the second consecutive trading session. The Nifty Smallcap 100 index increased by 0.16%, closing at 19,537 points.

Sweet gains

Sugar stocks surged sharply in intraday trade on Monday, September 16, with gains of up to 8.7% after the Department of Food and Public Distribution (DFPD) authorised sugar mills and distilleries to produce Rectified Spirit (RS) and Extra Neutral Alcohol (ENA) using sugarcane juice and B-heavy molasses.

This move is expected to enhance production flexibility for ethanol and other alcohol-based products, supporting the industry’s diversification efforts.

In a significant move to improve the financial health of the sugar industry, the government, on August 30, lifted restrictions on using sugarcane juice, sugar syrup, and B-molasses for ethanol production in the 2024–25 ethanol supply year (ESY).

Bumper debut

Bajaj Housing Finance shares made a strong debut on the NSE, opening at ₹150 each, which was a remarkable 114.29% premium over the IPO price of ₹70. The stock closed the session at ₹165, marking a 135% increase from the IPO price.

While Bajaj Housing Finance’s performance was impressive, its success led to declines in peer stocks such as LIC Housing Finance, PNB Housing Finance, and Can Fin Homes, which ended the day with losses of up to 6.3%.

It was the largest IPO of the year so far, and with its current gains, the shares now rank as the second-best performer among main board IPOs.