US STOCKS-Banks weigh on Wall St after JPMorgan earnings

                                

                                
 * JPMorgan Q4 profit up, but revenue misses estimate
                                
 * Consumer sentiment little changed in early Jan
                                
 * Stocks down: Dow 0.8 pct, S&P 0.9 pct, Nasdaq 0.9 pct
                                
 * For up-to-the-minute market news, click [STXNEWS/US]
                                
(Updates with consumer sentiment data)
                                
 By Angela Moon
                                
 NEW YORK, Jan 15 (Reuters) - Wall Street stumbled on
Friday, weighed by banking stocks after disappointing results
from JPMorgan Chase & Co set a gloomy tone for the coming
week's earnings.
                                
 JPMorgan <JPM.N>, the second-largest U.S. bank by assets,
posted revenue that fell short of Wall Street's forecast,
raising concerns about the industry and pulling lower shares of
rivals Bank of America Corp and Wells Fargo & Co.
                                
 Stocks extended losses after a survey showed U.S. consumer
sentiment was little changed in early January, as worries over
income and high unemployment offset news of an improving
economy. For details, see [ID:nN15147344]
                                
 "People are looking for more growth in the economy, and the
sentiment isn't there," said Thomas Nyheim, vice president and
portfolio manager at Christiana Bank & Trust Co in Greenville,
Delaware.
                                
 The Dow Jones industrial average <.DJI> was down 87.82
points, or 0.82 percent, at 10,622.73. The Standard & Poor's
500 Index <.SPX> fell 9.89 points, or 0.86 percent, at
1,138.57. The Nasdaq Composite Index <.IXIC> shed 21.59 points,
or 0.93 percent, at 2,295.15.
                                
 JPMorgan shares, part of the Dow industrials index, fell
1.9 percent to $43.85 and Bank of America <BAC.N> shed 2.6
percent to $16.39. Wells Fargo <WFC.N> fell 2 percent to
$28.36. Those banks are scheduled to begin reporting quarterly
earnings next week.
                                
 "JPMorgan is the bellwether, (and) you would hope they'd be
the first bank to be able to begin the process of paring down
loan loss reserves," said Jamie Cox, managing partner at Harris
Financial Group in Colonial Heights, Virginia.
                                
 The S&P Financial Index <.GSPF> lost 1.8 percent, the worst
performing sector in the index, while the KBW Bank Index <.BKX>
shed 2.1 percent.
                                
 Intel Corp <INTC.O>, another Dow component and the world's
largest chipmaker, posted fourth-quarter results that beat Wall
Street forecasts after the bell on Thursday, and gave a bullish
margin outlook on higher prices and firm demand for server
chips. [ID:nN13151343]
                                
 A U.S. Labor Department report earlier showed consumer
prices rose at a slower-than-expected pace in December,
pointing to subdued inflation. [ID:nN14198653]
                                
 U.S. House of Representatives Democratic Leader Steny Hoyer
said congressional Democrats are "very close" to reaching final
agreement on healthcare reform legislation and could have a
deal in days. [ID:nN15112129]
                                
 The Morgan Stanley Healthcare Payor index <.HMO> was down
0.6 percent while the S&P Healthcare index <.GSPA> lost 0.7
percent.
                                
 The U.S. dollar <.DXY> extended gains on Friday, up 0.7
percent against a basket of rival currencies, while oil <CLc1>
fell 1.2 percent to $78.48 a barrel.
  (Additional Reporting by Ryan Vlastelica; Editing by Padraic
Cassidy)