U.S. stocks tumble after Fed offers no surprises

SAN FRANCISCO (MarketWatch)
U.S. stocks dropped sharply Wednesday, with the major indexes notching deep losses in the last hour of trading, in the wake of a Federal Reserve statement that was largely in line with market expectations.
The Dow Jones Industrial Average lost 283.82 points, or 2.5%, to 11,124.84.
The S&P 500 fell 35.33 points, or 2.9%, to 1,166.76.
The Nasdaq Composite lost 52.05 points, or 2.01%, to 2,538.19.
The Federal Reserve announced a $400 billion debt swap that will extend the average maturity of the securities it holds, a bid to lower long-term rates that had been widely expected.
"The Fed disappointed in a big way. They had a chance to go big and they wimped out," said Keith Springer, president of Springer Financial Advisors in Sacramento, Calif.