Katy Perry has set off engagement chatter after she was photographed flaunting a dazzling jewel on her left ring finger during a Monday night (28Nov16) stroll with boyfriend Orlando Bloom.

The Firework hitmaker and the Pirates of the Caribbean actor have been dating for about 10 months, and it appears they have taken their romance to the next level after photos emerged of the couple enjoying a romantic outing in New York City.

The images, published on ET Online on Tuesday (29Nov16), show the pop star sporting the new sparkler as she walked alongside Bloom.

"She walked with her left hand leading her, and bent her hand to show off the large sparkler to the cameras," an eyewitness tells the outlet.

The stars were heading into The Polo Bar restaurant together as Katy flashed her new ring, an oval cut yellow diamond surrounded by clear diamond baguettes.

"(They) seemed proud to show off their happiness," the source explains of Katy, 32, and Orlando, 39.

News of their rumored engagement emerges just days after the pair dismissed gossip suggesting they had ended their relationship, amid claims Orlando had called time on the romance because he wasn't ready to start a family with Katy.

Perry confirmed the loved-up duo was still together by sharing snaps of her family's Thanksgiving dinner on her Instagram page.

In one video of preparations for the meal, Katy captured footage showing her relatives and Orlando all donning red and black onesies.

Both stars have been wed before - Bloom was married to supermodel Miranda Kerr, the mother of his five-year-old son Flynn, from 2010 to 2013, and Perry to British comedian Russell Brand from 2010 to 2012.