After an initial spike following confirmation by chairman, Janet Yellen that the Federal Reserve was leaving US base interest rates unchanged, Wall Street closed marginally lower last night, and Asian markets offered muted responses overnight.

Ordinarily, it would be anticipated that stock markets would receive a boost by the decision not to raise rates, but investors seem to have been spooked by the Fed’s dovish analysis of the challenges facing the global economy.

It said in its policy statement after a two-day meeting that "recent global economic and financial developments may restrain economic activity somewhat".

The Fed added that it was "monitoring developments abroad", in a nod to volatility in China, the world's second-largest economy.

Stocks ended mostly lower on Thursday after a jittery day overshadowed by the prospect of a first US rate rise since 2006.

Fed chair Janet Yellen cited the slowdown in China and other emerging markets in a news conference explaining the decision.

She also said the US housing market remains "very depressed".

Speculation will start building again as to when the Fed will raise rates, with the next opportunity probably in December, though given the nature of yesterday’s statement, many commentators believe it will be in 2016.

The euro drifted to €1.14 against the dollar last night.