NSE's volatility index, the Indian equivalent of the VIX fear gauge, surged 9.6 percent ahead of Fed's policy statement at 1400 GMT.
The broader Nifty rose for a ninth consecutive session, matching its winning streak in March-April 2014. It closed 0.04 percent higher at 8,914.30. Earlier in the day, it hit a record high of 8,985.05.
The BSE Sensex closed lower 0.04 percent at 29,559.18, after gaining as much as 0.73 percent to a record high of 29,786.32.