BENGALURU: Indian shares advanced on Monday, in step with Asian peers, after US jobs data heightened hopes that the Federal Reserve will not hike rates any further.

The NSE Nifty 50 index settled 0.94% higher at 19,411.75, with 45 constituents in the green. The S&P BSE Sensex rose 0.92% to 64,958.69.

Twelve of the 13 major sectors logged gains after data pointed to a cooling US labour market, raising hopes that the Federal Reserve is done with rate hikes.

“We expect markets to continue its positive momentum as the jobs data in the US indicates that the rate hike cycle could be over,” said Anita Gandhi, director at Arihant Capital Markets.

With the US rate concerns as well as Treasury yields easing, domestic equities are set for a renewed rally in the festive season, two analysts added.

The Fed had held its interest rate steady on Nov. 1, spurring a global market rally. Since the Fed rate pause, Nifty has risen 2.23%, logging gains for three straight sessions. Broader Asian markets also extended gains, with the MSCI Asia ex-Japan index rising over 2%.