diff --git a/src/lightning/data/streaming/client.py b/src/lightning/data/streaming/client.py
index 4a57254885..913180ff58 100644
--- a/src/lightning/data/streaming/client.py
+++ b/src/lightning/data/streaming/client.py
@@ -7,6 +7,8 @@ from lightning.data.constants import _BOTO3_AVAILABLE
 if _BOTO3_AVAILABLE:
     import boto3
     import botocore
+    from botocore.credentials import InstanceMetadataProvider
+    from botocore.utils import InstanceMetadataFetcher
 
 
 class S3Client:
@@ -18,20 +20,34 @@ class S3Client:
         self._has_cloud_space_id: bool = "LIGHTNING_CLOUD_SPACE_ID" in os.environ
         self._client: Optional[Any] = None
 
+    def _create_client(self) -> None:
+        has_shared_credentials_file = os.getenv("AWS_SHARED_CREDENTIALS_FILE") == os.getenv("AWS_CONFIG_FILE") == "/.credentials/.aws_credentials"  # noqa: E501
+
+        if has_shared_credentials_file:
+            self._client = boto3.client(
+                "s3", config=botocore.config.Config(retries={"max_attempts": 1000, "mode": "adaptive"})
+            )
+        else:
+            provider = InstanceMetadataProvider(iam_role_fetcher=InstanceMetadataFetcher(timeout=3600, num_attempts=5))
+            credentials = provider.load()
+            self._client = boto3.client(
+                "s3",
+                aws_access_key_id=credentials.access_key,
+                aws_secret_access_key=credentials.secret_key,
+                aws_session_token=credentials.token,
+                config=botocore.config.Config(retries={"max_attempts": 1000, "mode": "adaptive"}),
+            )
+
     @property
     def client(self) -> Any:
         if not self._has_cloud_space_id:
             if self._client is None:
-                self._client = boto3.client(
-                    "s3", config=botocore.config.Config(retries={"max_attempts": 1000, "mode": "adaptive"})
-                )
+                self._create_client()
             return self._client
 
         # Re-generate credentials for EC2
         if self._last_time is None or (time() - self._last_time) > self._refetch_interval:
-            self._client = boto3.client(
-                "s3", config=botocore.config.Config(retries={"max_attempts": 1000, "mode": "adaptive"})
-            )
+            self._create_client()
             self._last_time = time()
 
         return self._client
diff --git a/src/lightning/data/streaming/downloader.py b/src/lightning/data/streaming/downloader.py
index 03d7b93020..c3e0d17044 100644
--- a/src/lightning/data/streaming/downloader.py
+++ b/src/lightning/data/streaming/downloader.py
@@ -57,7 +57,7 @@ class S3Downloader(Downloader):
             return
 
         try:
-            with FileLock(local_filepath + ".lock", timeout=1 if obj.path.endswith(_INDEX_FILENAME) else 0):
+            with FileLock(local_filepath + ".lock", timeout=3 if obj.path.endswith(_INDEX_FILENAME) else 0):
                 if self._s5cmd_available:
                     proc = subprocess.Popen(
                         f"s5cmd cp {remote_filepath} {local_filepath}",
diff --git a/tests/tests_data/streaming/test_client.py b/tests/tests_data/streaming/test_client.py
index e4d9d80cbd..d1425fd9c2 100644
--- a/tests/tests_data/streaming/test_client.py
+++ b/tests/tests_data/streaming/test_client.py
@@ -13,6 +13,12 @@ def test_s3_client_without_cloud_space_id(monkeypatch):
     botocore = mock.MagicMock()
     monkeypatch.setattr(client, "botocore", botocore)
 
+    instance_metadata_provider = mock.MagicMock()
+    monkeypatch.setattr(client, "InstanceMetadataProvider", instance_metadata_provider)
+
+    instance_metadata_fetcher = mock.MagicMock()
+    monkeypatch.setattr(client, "InstanceMetadataFetcher", instance_metadata_fetcher)
+
     s3 = client.S3Client(1)
     assert s3.client
     assert s3.client
@@ -24,7 +30,8 @@ def test_s3_client_without_cloud_space_id(monkeypatch):
 
 
 @pytest.mark.skipif(sys.platform == "win32", reason="not supported on windows")
-def test_s3_client_with_cloud_space_id(monkeypatch):
+@pytest.mark.parametrize("use_shared_credentials", [False, True])
+def test_s3_client_with_cloud_space_id(use_shared_credentials, monkeypatch):
     boto3 = mock.MagicMock()
     monkeypatch.setattr(client, "boto3", boto3)
 
@@ -33,6 +40,16 @@ def test_s3_client_with_cloud_space_id(monkeypatch):
 
     monkeypatch.setenv("LIGHTNING_CLOUD_SPACE_ID", "dummy")
 
+    if use_shared_credentials:
+        monkeypatch.setenv("AWS_SHARED_CREDENTIALS_FILE", "/.credentials/.aws_credentials")
+        monkeypatch.setenv("AWS_CONFIG_FILE", "/.credentials/.aws_credentials")
+
+    instance_metadata_provider = mock.MagicMock()
+    monkeypatch.setattr(client, "InstanceMetadataProvider", instance_metadata_provider)
+
+    instance_metadata_fetcher = mock.MagicMock()
+    monkeypatch.setattr(client, "InstanceMetadataFetcher", instance_metadata_fetcher)
+
     s3 = client.S3Client(1)
     assert s3.client
     assert s3.client
@@ -45,3 +62,5 @@ def test_s3_client_with_cloud_space_id(monkeypatch):
     assert s3.client
     assert s3.client
     assert len(boto3.client._mock_mock_calls) == 9
+
+    assert instance_metadata_provider._mock_call_count == 0 if use_shared_credentials else 3