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The US Federal Reserve has left the interest rate unchanged for the first time after March 2022, ending a stream of 10 consecutive hikes to curb inflation.

"In determining the extent of additional policy firming that may be appropriate to return inflation to two per cent over time, the Committee will take into account the cumulative tightening of monetary policy, the lags with which monetary policy affects economic activity and inflation, and economic and financial developments," the Fed said on Wednesday in a statement after a two-day policy meeting of its top policymaking committee.

After the Fed hoisted the interest by 0.25 per cent in June, taking the rate to its highest level in 16 years, there were indications that it would pause the hikes, depending, of course, on how the economy was doing.