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Indian shares slipped on Thursday, mirroring the weakness in Asian peers, amid growing signs that the Federal Reserve might not temper its aggressive monetary policy anytime soon.

The S&P BSE Sensex was down 0.12% at 61,904.22 as of 0514 GMT, after closing at an all-time high for the second straight session on Wednesday. The NSE Nifty 50 index edged 0.19% lower to 18,374.35.

Meanwhile, Asia-Pacific shares ex-Japan slid a steeper 1.47%, with analysts pinning the smaller drop in local equities to India's fiscal health and economic growth prospects.

The two benchmark Indian indexes are hovering near their closing levels from last Thursday when they surged more than 1.75% after softer-than-expected U.S. inflation data sparked expectations of a Fed pivot.

But data late on Wednesday showing a bigger-than-expected jump in October retail sales and recent comments from multiple Fed speakers have poured cold water on those bets. San Francisco Fed President Mary Daly even said a pause was off the table.

The Fed's stance could trigger "bouts of volatility," said Prashanth Tapse, vice president of research at Mehta Equities.

"Traders are not uncomfortable with the high valuation of Indian markets, hence periodic profit-taking will continue."

Among the laggards were Nifty's IT index , falling 0.76% and taking its declines to over 23% this year. Auto and metal stocks shed 0.85% and 1.15%, respectively.

One 97 Communications sank 10% to a six-month low on news of SoftBank's plan to sell a stake of up to $215 million in the parent of digital payments provider Paytm.

Tata Motors fell 2% as it said its top boss at Jaguar Land Rover business will resign.

R Systems International jumped 20% as Blackstone said it would buy a 52% stake in the IT services provider for $359 million.