Indian shares snapped a two-session losing streak to inch higher on Wednesday, ahead of the country's biggest IPO and an expected rate hike by the U.S. Federal Reserve as it seeks to tame surging inflation.

The NSE Nifty 50 index was up 0.01% at 17,070.75 as of 0356 GMT, while the S&P BSE Sensex rose 0.26% to 57,124.91. The Indian markets were closed on Tuesday for a holiday.

Nifty's public-sector bank, finance and IT sub-indexes were among the top segment gainers, rising between 0.3% and 0.6%.

State-run insurer Life Insurance Corporation's initial public offering will open for bids on Wednesday.

Investors will also focus on the Federal Reserve that is expected to raise rates by 50 basis points when the central bank's meeting concludes later in the day.

The market will be watching for signals about the future path for interest rates, the Fed's plans for reducing its balance sheet and its view on when inflation will recede.

In India, Nifty 50 component Kotak Mahindra Bank was up 0.84% while Tata Consumer Products was trading 0.03% lower, ahead of their quarterly earnings results.

(Reporting by Rama Venkat in Bengaluru; Editing by Vinay Dwivedi)