Global shares advanced on Monday after the US Federal Reserve indicated that interest-rate cuts may be on the table, giving investors a reason to buy risk assets ahead of this week’s closely watched US jobs report.

The rally reflected growing optimism that borrowing costs could ease later this year, a shift that would support corporate earnings and reduce pressure on consumers and businesses. Bond yields also moved in response to the Fed’s message, while traders adjusted expectations for the timing and size of any policy move.

The mood across markets improved as investors looked past recent economic uncertainty and focused on the possibility of a more supportive monetary backdrop. Still, analysts cautioned that the next payrolls data could quickly reshape those expectations if hiring remains strong or inflation proves sticky.

Friday’s employment release is expected to be a key test for the market’s upbeat tone. A hotter-than-expected report could temper hopes for quicker cuts, while weaker data may reinforce the view that the Fed has room to act sooner.