Dow closes lower after disappointing bank results



* JPM tumbles 6% after Q4 report, Citi loses 1.3%

* Wells Fargo rises 3.7% after higher profit

* Casino stocks up as Macau caps new licenses at six

* Dow falls 0.56%, S&P rises 0.08%, Nasdaq up 0.59%

By Sinéad Carew

Jan 14 (Reuters) - The Dow closed lower on Friday with a big drag from financial stocks as investors were disappointed by fourth quarter results from big U.S. banks, which cast a shadow over the earnings season kick-off.

The Nasdaq and the S&P regained lost ground in afternoon trading to close higher. Meanwhile the consumer discretionary stocks .SPLRCD put pressure on the indexes throughout the session after morning data showed a December decline in retail sales and a souring of consumer sentiment.

JPMorgan Chase & Co JPM.N tumbled after reporting weaker performance at its trading arm. The bellwether lender also warned that soaring inflation, the looming threat of Omicron and trading revenues would challenge industry growth in coming months.

Along with JPMorgan, big decliners putting pressure on the Dow included financial stocks Goldman Sachs GS.N , American Express AXP.N and home improvement retailer Home Depot HD.N .

Citigroup Inc C.N shares fell after it reported a 26% drop in fourth-quarter profit, while asset manager BlackRock Inc BLK.N fell 2.2% after missing quarterly revenue expectations.

The S&P 500 bank subsector .SPXBK , which hit an intraday high in the previous session, closed down 1.7%. The sector has been outperforming the S&P recently as investors bet the Federal Reserve's expected interest rate hikes will boost bank profits.

"The bar was very high going into (JPMorgan) results. On the surface it was good but, under the hood, not so much," said Michael James, managing director of equity trading at Wedbush Securities in Los Angeles. In the interest rate hiking cycle expected this year "positioning was very crowded on the long side" going into the earnings season.

For consumer stock weakness, James pointed to "clearly disappointing" retail sales, which dropped 1.9% last month due to shortages of goods and an explosion of COVID-19 infections. Separate data showed soaring inflation hit U.S. consumer sentiment in January, pushing it to its second lowest level in a decade.

Retail sales and bank loan growth raised doubts about the economic outlook for the current quarter and 2022 for Keith Buchanan, portfolio manager at Globalt in Atlanta.

"The question is, does the economy have enough strength to get through the risk Omicron brings as fiscal and monetary stimulus is rolling off," Buchanan said.

The Dow Jones Industrial Average .DJI fell 201.81 points, or 0.56%, to 35,911.81, the S&P 500 .SPX gained 3.82 points, or 0.08%, to 4,662.85 and the Nasdaq Composite .IXIC added 86.94 points, or 0.59%, to 14,893.75.

For the week, the S&P 500 fell 0.3% while the Dow fell 0.9% and the Nasdaq fell 0.3%.

At the end of the session, four out of eleven S&P sectors gained ground with energy .SPNY leading gains.

An afternoon rally pushed the Nasdaq and the S&P to closing gains with help from rate-sensitive growth sectors with technology .SPLRCT closing up 0.89% and communications services .SPLRCS adding 0.53%.

"There's clearly some bargain hunting going on in technology today," said Wedbush's James.

Analysts see S&P 500 companies earnings rising 23.1% in the fourth quarter, according to IBES data from Refinitiv.

One bright spot in the bank sector on Friday, however, was Wells Fargo & Co WFC.N , which rallied after posting a bigger-than-expected rise in fourth-quarter profit.

Las Vegas Sands LVS.N rallied 14.2% while Melco Resorts MLCO.O advanced 16.6% and Wynn Resorts WYNN.O closed up 8.6% after Macau's government capped the number of new casino operators allowed to operate to six with an operating period of up to 10 years.

U.S. stock markets will remain shut on Monday for the public holiday in honor of Martin Luther King Jr.

Declining issues outnumbered advancing ones on the NYSE by a 1.63-to-1 ratio; on Nasdaq, a 1.19-to-1 ratio favored decliners.

The S&P 500 posted 38 new 52-week highs and three new lows; the Nasdaq Composite recorded 71 new highs and 570 new lows.

On U.S. exchanges, 10.74 billion shares changed hands compared with the 10.34 billion average for the last 20 sessions.
Additional reporting by Bansari Mayur Kamdar and Shreyashi Sanyal in Bengaluru, Sinéad Carew in New York, Editing by Maju Samuel and Marguerita Choy

Penafian: Entiti XM Group menyediakan perkhidmatan pelaksanaan sahaja dan akses ke Kemudahan Dagangan Atas Talian, yang membolehkan sesorang melihat dan/atau menggunakan kandungan yang ada di dalam atau melalui laman web, tidak bertujuan untuk mengubah atau memperluas, juga tidak mengubah atau mengembangkannya. Akses dan penggunaan tersebut tertakluk kepada: (i) Terma dan Syarat; (ii) Amaran Risiko; dan Penafian Penuh. Oleh itu, kandungan sedemikian disediakan tidak lebih dari sekadar maklumat umum. Terutamanya, perlu diketahui bahawa kandungan Kemudahan Dagangan Atas Talian bukan permintaan, atau tawaran untuk melakukan transaksi dalam pasaran kewangan. Berdagang dalam mana-mana pasaran kewangan melibatkan tahap risiko yang besar terhadap modal anda.

Semua bahan yang diterbitkan di Kemudahan Dagangan Atas Talian kami bertujuan hanya untuk tujuan pendidikan/maklumat dan tidak mengandungi – dan tidak boleh dianggap mengandungi nasihat kewangan, cukai pelaburan atau dagangan dan cadangan, atau rekod harga dagangan kami, atau tawaran, atau permintaan untuk suatu transaksi dalam sebarang instrumen kewangan atau promosi kewangan yang tidak diminta kepada anda.

Sebarang kandungan pihak ketiga serta kandungan yang disediakan oleh XM, seperti pendapat, berita, penyelidikan, analisis, harga, maklumat lain atau pautan ke laman web pihak ketiga yang terdapat dalam laman web ini disediakan berdasarkan "seadanya" sebagai ulasan pasaran umum dan bukanlah nasihat pelaburan. Sesuai dengan apa-apa kandungan yang ditafsir sebagai penyelidikan pelaburan, anda mestilah ambil perhatian dan menerima bahawa kandungan tersebut tidak bertujuan dan tidak sediakan berdasarkan keperluan undang-undang yang direka untuk mempromosikan penyelidikan pelaburan bebas dan oleh itu, ia dianggap sebagai komunikasi pemasaran di bawah peraturan dan undang-undang yang berkaitan. SIla pastikan bahawa anda telah membaca dan memahami Notifikasi mengenai Penyelidikan Pelaburan Bukan Bebas dan Amaran Risiko mengenai maklumat di atas yang boleh diakses di sini.

Kami menggunakan kuki untuk memberikan anda pelayaran terbaik di laman web kami. Baca lagi atau tukar tetapan kuki.

Amaran Risiko: Modal anda dalam risiko. Produk yang menggunakan leverage mungkin tidak sesuai untuk semua individu. Sila lihat Pendedahan Risiko kami.