GLOBAL MARKETS-World stocks, US dollar down as markets await Fed

* Apple (LSE: 0R2V.L - news) , Twitter (Xetra: A1W6XZ - news) weigh on global tech stocks

* US dollar weak before Fed rate decision; no change seen

* Oil up at highs on weak dollar; EIA survey trims gains (Updates data, prices)

By Dion Rabouin

NEW YORK, April 27 (Reuters) - Stocks on major markets rose slightly from session lows in early afternoon trading on Wednesday after disappointing earnings from Apple and Twitter (Swiss: TWTR.SW - news) late Tuesday, while the U.S (Other OTC: UBGXF - news) . dollar weakened ahead of a policy announcement by the Federal Reserve and oil prices rose to 2016 highs.

Apple shares were down 6.7 percent after the company reported its first drop in iPhone sales and its first decline in revenue in more than a decade on Tuesday. Twitter tumbled more than 15 percent after first-quarter revenue lagged expectations.

The Nasdaq's information technology sector fell 1.4 percent, with Facebook (NasdaqGS: FB - news) and Alphabet (Xetra: ABEA.DE - news) also lower.

Gains in Boston Scientific, Boeing (NYSE: BA - news) and Mondelez helped limit the losses with Wall Street stocks mixed ahead of the Fed decision.

"Investors have gotten into a wait-and-see mode ahead of the Fed decision," said Art Hogan, chief market strategist at Wunderlich Securities in New York.

"Globally, things have gotten much better since the last meeting and I think the market is being too complacent regarding a dovish tone from the Fed."

European shares edged up on the day, with advances at sportswear group Adidas (LSE: 0OLD.L - news) and British bank Barclays (Swiss: BARC.SW - news) helping shake off a retreat in tech stocks.

The pan-European FTSEurofirst 300 index rose 0.27 percent, while the euro zone's blue-chip Euro STOXX 50 index advanced 0.29 percent.

A gauge of global equity markets fell 0.15 percent, with Japan's Nikkei index and Chinese markets down around 0.4 percent.

FED DECISION

The U.S. dollar fell 0.2 percent against a basket of currencies as investors waited for a Federal Reserve decision on U.S. interest rates at 2 p.m. EST (1800 GMT).

The Fed is expected to leave interest rates unchanged as it monitors the impact from weakening global growth, but some analysts said the central bank could alter its language to highlight reduced risks to the global economy.

Economists polled by Reuters expect two interest rate increases this year, although futures prices show traders do not expect rates to rise until late in the year, according to CME Group's FedWatch. Higher U.S. interest rates generally boost the dollar by driving investment flows into the United States.

AUSTRALIAN DOLLAR FALLS

The Australian dollar was the biggest mover among currencies, falling more than 2.0 percent to $0.7591 after data showed that core inflation unexpectedly slowed to its lowest on record in the first quarter.

The Aussie is on track for its biggest one-day fall in three months, reviving talk the Reserve Bank of Australia could cut the record-low 2.0 percent cash rate at its May policy meeting next week.

"The inflation data clearly puts an interest rate cut back on the table quite firmly," said Rabobank currency strategist Jane Foley in London.

The U.S. dollar resumed its fall against the euro, dipping 0.25 percent against the continental currency.

The weaker U.S. dollar helped lift crude futures to 2016 highs.

Brent crude, the international benchmark, was last up 2.25 percent to $46.77 a barrel, near its highest level this year. U.S. crude rose 1.84 percent to $44.86 a barrel.

Benchmark U.S. 10-year government notes were up 11/32 in price with a yield of 1.893 percent, as Treasury prices clung to earlier gains. (Additional reporting by Sam Forgione in New York and Nigel Stephenson in London; Editing by Bernadette Baum)