US STOCKS-Wall Street little changed as UPS offsets banks

Last Updated: Fri, Jul 12, 2013 14:30 hrs

* JPMorgan profit jumps in quarter

* UPS falls after lowering profit outlook

* Dow up 0.1 pct, S&P 500 off 0.01 pct, Nasdaq up 0.09 pct

By Chuck Mikolajczak

NEW YORK, July 12 (Reuters) - U.S. stocks were little changed on Friday after closing at fresh record highs a day earlier, as rosy results from JPMorgan and Wells Fargo were overshadowed by a profit warning from United Parcel Service.

The S&P 500 index and the Dow industrials closed at record highs on Thursday, after Federal Reserve Chairman Ben Bernanke said the U.S. central bank will keep monetary policy loose for some time to lower the unemployment rate.

JPMorgan Chase & Co, the largest U.S. bank by assets, advanced 0.4 percent to $55.34, after reporting a 31 percent jump in quarterly profit. Wells Fargo & Co, the biggest U.S. mortgage lender, climbed 2 percent to $42.74 after posting quarterly results that topped expectations. The S&P financial index gained 0.3 percent.

But United Parcel Service Inc dropped 5.2 percent to $86.22 - the biggest drag on the S&P 500 - after the world's No.1 package delivery company estimated second-quarter profit would be below analysts' expectations due to overcapacity in the world freight market. Rival FedEx Corp shed 1.7 percent to $102.61.

"Wells Fargo and JPMorgan have come in with better than expected numbers. UPS is probably not a surprise given ongoing downward revisions in guidance," said Fred Dickson, chief market strategist, D.A. Davidson & Co. Lake Oswego, Oregon.

"We'll go a little bit higher, consolidate gains, maybe take a little profit going into the weekend and investors are going to sit back and wait for the tidal wave of earnings next week."

Data showed the seasonally adjusted producer price index increased 0.8 percent last month, above expectations calling for a 0.5 percent increase. Excluding volatile food and energy costs, core producer prices, rose 0.2 percent last month, versus expectations for a rise of 0.1 percent.

The benchmark S&P index has risen 3.8 percent over the past six sessions and is up 2.6 percent for the week. The six-day run marks the longest winning streak since early March, when the index climbed for seven sessions on positive data, hopes for rosy results and signals from the Fed that it would continue to backstop the economy.

The Thomson Reuters/University of Michigan's preliminary reading on the overall index on consumer sentiment edged down in early July to 83.9 from 84.1 in June, shy of forecasts for 85.

The Dow Jones industrial average gained 15.05 points, or 0.10 percent, to 15,475.97. The Standard & Poor's 500 Index dropped 0.15 points, or 0.01 percent, to 1,674.87. The Nasdaq Composite Index gained 3.28 points, or 0.09 percent, to 3,581.58.

Analysts expect S&P 500 companies' second-quarter earnings to have grown 2.5 percent from a year earlier, with revenue up 1.5 percent, according to Thomson Reuters data.

U.S.-listed shares of Infosys jumped 7.1 percent to $47.16 after reporting quarterly results and maintaining its revenue growth forecast.

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