The U.S. central bank held rates at their current range for the fourth straight time, signaling that the hiking cycle may be over setting up the stage for possible rate cuts in 2024. The possible reduction of rates, which, at their current two-decade highs, have helped push up borrowing costs across the economy, could be a boost for President Joe Biden as they could reduce the cost of buying a home and business investment.

Beginning in March of 2022, the Federal Reserve raised rates at the most aggressive pace since the 1980s to battle inflation that had soared to 40-year highs. Since then, inflation has slowed while the jobs market has kept hiring even at a slower pace and the economy has continued to grow amid elevated rates.

On Wednesday, Fed policymakers acknowledged that dynamic in their rate decision.

"Recent indicators suggest that economic activity has been expanding at a solid pace. Job gains have moderated since early last year but remain strong, and the unemployment rate has remained low," they said. "Inflation has eased over the past year but remains elevated."