US STOCKS-Wall Street turns red after Fed fails to impress
* Fed keeps rates steady, closely watching global markets
* Apple, Boeing drop after forecasts miss estimates
* Dow down 1.4 pct, S&P down 1.2 pct, Nasdaq down 2.2 pct (Updates to afternoon)
By Noel Randewich
Jan 27 (Reuters) - Wall Street dropped on Wednesday after the U.S. Federal Reserve frustrated investors hoping for a strong sign it might scale back future interest rate hikes because of recent financial and economic turmoil.
In a widely expected decision, the Fed kept interest rates unchanged and it said it was "closely monitoring" global economic and financial developments, but it maintained an otherwise upbeat view of the U.S. economy.
"It sounds like they are unimpressed with what has happened in the markets, that it has been insufficient to change their plans. That's the takeaway and it's why the market is going down," said Stephen Massocca, Chief Investment Officer of Wedbush Equity Management LLC in San Francisco.
Major stock indexes moved lower, reversing earlier gains driven by a jump in crude prices after Russia said it was discussing the possibility of cooperation with OPEC and U.S. data showed an increase in short-term demand.
At 3:04 p.m., the Dow Jones industrial average was down 1.39 percent at 15,943.29 and the S&P 500 lost 1.18 percent to 1,881.15. Continuación...