The U.S. Federal Reserve concluded its two-day policy meeting on Wednesday, with its statement suggesting a cautious outlook and a less aggressive timeline on raising interest rates while still implying that it was closer to hiking rates for the first time after almost a decade.

The central bank dropped the word "patient" from its pledge, rekindling worries of increased rates as early as June.

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"Just because we removed the word 'patient' from the statement doesn't mean we're going to be impatient," said Federal Reserve Chair Janet Yellen.

The U.S. Fed downplayed the rate lift off timing by revising its economic growth and inflation projections downward.

Officials cut their estimates of their key overnight lending rate, also known as the federal funds rate, to 0.625 percent for the end of the year, versus its 1.125 forecast back in December.

The new estimate, referred to as a "dot plot," coupled with other economic concerns made one of the largest world power's central bank appear very wary, as anticipated by investors, moving expectations of a rate hike to fall from mid-year.

"I just don't see any price or wage pressure out there," remarks Craig Dismuke, chief economist for Vining Sparks. "June is not off the table but it's unlikely. September is the most likely time for the first rate hike. They might get one hike in this year, maybe two."

The U.S. Fed mentioned a rate increase at its April FOMC meeting was "unlikely" and its change in guidance did not signify a specific timing on the rate liftoff. Nevertheless, Yellen told the media that a move in June could not be ruled out, depending on economic data to follow.

Wall Street was revived anew, much like crude oil prices which jumped 5 percent after the Federal Open Market Committee (FOMC) meeting. The U.S. dollar, however, fell against other major currencies like the Japanese Yen and the Euro.

U.S. 10-year Treasury yields also slipped below 2 percent for the first time since early this month.

The Fed statement signaled a more cautious outlook on the recovery of the economy, repeating worries that inflation measures have not been meeting expectations, especially due to the collapse in energy prices.

"The committee anticipates that it will be appropriate to raise the target range for the federal funds rate when it has seen further improvement in the labor market and is reasonably confident that inflation will move back to its 2 percent objective over the medium-term," says the US central bank.

TagsU.S. Fed, Federal Reserve, rate hike, June rate Hike