The disc is not legit, you can only install OEM if it is to a machine you have built yourself. It cannot be installed to an existing machine. You must obtain a retail version.
Having said that it should work, although you may encounter problems when you come to activate/validate the installation simply because it is an OEM disc.
My guess is you have a faulty keyboard. Can you still get into Windows to test it? You do not appear to have actually done anything yet.