(Recasts throughout, updates prices) By Susan Mathew Feb 1 (Reuters) - Most Latin American stocks rose on Friday after U.S. economic data pointed to the possibility that the Federal Reserve could keep interest rates unchanged. Shares extended their rally after U.S. employment and manufacturing data underscored a strong economy with little wage inflation. Prices in the U.S. futures markets show traders see no rate hikes ahead by the Fed a day after it said it would be patient with hikes. "The story being told here is the (U.S.) economy is healthy but inflation continues to face challenges," said Yousef Abbasi, global market strategist at INTL FCStone Financial Inc. "This makes even more a compelling argument for the stock market." Brazil's Bovespa stock index rose half a percent and posted a fourth straight day of gains, while most other regional indexes rose between 0.8 percent to 0.9 percent. Mexican shares, however, fell 0.5 percent, but managed to make gains over the week. World markets that were gaining on strong U.S. job data, turned negative after Amazon's gloomy outlook cut some of Wall Street's gains. Meanwhile, Mexico's currency broke a nine-week winning streak. On the day, the peso was little changed. A senior analyst at Fitch said that Mexico's government does "not necessarily" face a credit rating downgrade by Fitch if the rating for debt issued by state-owned oil company Pemex were cut again. Fitch's Pemex downgrade had spurred a fall in the peso. While most other regional currencies eked out gains against a steady dollar, the Brazilian real weakened 0.4 percent after five straight days of gains as Congress and Senate elections progressed. Investors were keeping a close eye on elections for leadership in Brazil's congress, with the likely victor in the House, Rodrigo Maia, seen as a known quantity positive for the reform agenda of far-right President Jair Bolsonaro. There was more uncertainty about the outcome in the Senate, where a close contest was expected between veteran Senator Renan Calheiros and Davi Alcolumbre. While reports said Maia had won the backing of Bolsonaro's Finance Minister Paulo Guedes, others said any of the top candidates were likely to advance a crucial pension reform law. "There are very positive expectations with regard to the candidates' names," a trader with a local bank said. "If these expectations are confirmed, there should be a strengthening of the real given the prospects for the pension reform to pick up steam." Key Latin American stock indexes and currencies at 2132 GMT: Stock indexes Latest Daily % change MSCI Emerging Markets 1050.20 0.03 MSCI LatAm 2950.44 0.1 Brazil Bovespa 97861.27 0.48 Mexico IPC 43788.77 -0.45 Chile IPSA 5452.97 0.88 Argentina MerVal 36599.88 0.75 Colombia IGBC 11935.08 0.9 Currencies Latest Daily % change Brazil real 3.6578 0.07 Mexico peso 19.1020 0.02 Chile peso 653.8 0.24 Colombia peso 3087.9 0.50 Peru sol 3.329 -0.06 Argentina peso 37.1500 0.54 (interbank) (Reporting by Susan Mathew in Bengaluru; additional reporting by Herbert Lash in New York Editing by Alistair Bell)