US interest rates held steady and economy grows - what it means for you

The US Federal Reserve has held interest rates steady at 3.75% - 4%.

The decision comes within a week of the midterm elections and after the central bank raised interest rates for the first time in three years at its September meeting.

"The overwhelming consensus, the overwhelming judgement, is that what we've done in this monetary medicine is starting to work some," Fed Chair Kevin Warsh said, referring to September's interest rate rise.

Figures published after the Fed's announcement showed the US economy growing at a stronger pace than expected, with inflation running above the Fed's target.

An interest rate tells people and businesses how much it costs to borrow money – such as with credit cards, mortgages, or business loans – but also what return they get for saving cash.