* JPMorgan, Goldman Sachs earnings jump
* Japanese airlines ground Dreamliners after emergency
* Apple climbs after three-day slide
* Indexes: Dow down 0.2 pct, S&P up 0.02 pct, Nasdaq up 0.2
By Caroline Valetkevitch
NEW YORK, Jan 16 The S&P 500 ended nearly flat
on Wednesday as solid earnings from two major banks and a
bounceback in Apple shares offset concerns about a lower
forecast for global growth in 2013.
Shares of Goldman Sachs hit their highest since May
2011 as earnings nearly tripled on increased revenue from
dealmaking and lower compensation expenses. JPMorgan Chase
said fourth-quarter net income jumped 53 percent and
earnings for 2012 set a record.
JPMorgan shares edged up 1 percent at $46.82 and Goldman
ended up 4.1 percent at $141.09.
They were among the first big banks to report results and
helped to lift estimates for S&P 500 corporate earnings
slightly, to a 2.2 percent gain, Thomson Reuters data showed.
"Pretty solid numbers from both JPMorgan and Goldman Sachs
are putting a lot of momentum behind the financials, with a lot
more names to report this week. But I think that's helping to
put a better bid to the market overall," said Michael James,
senior trader at Wedbush Morgan in Los Angeles.
Apple rebounded after three days of losses, helping
the Nasdaq outperform the S&P 500 and Dow. Apple rose 4.2
percent to $506.09. It closed below $500 on Tuesday for the
first time since February.
"There could not have been more negativity around Apple
going into today. So was it due for an oversold bounce on a
trading basis? Absolutely," James said.
A slow economic recovery in developed nations is holding
back the global economy, the World Bank said on Tuesday, as it
sharply scaled back its forecast for world growth in 2013 to 2.4
percent from an earlier forecast of 3.0 percent.
The Dow Jones industrial average was down 23.66
points, or 0.17 percent, at 13,511.23. The Standard & Poor's 500
Index was up 0.29 points, or 0.02 percent, at 1,472.63.
The Nasdaq Composite Index was up 6.77 points, or 0.22
percent, at 3,117.54.
The biggest drag on the Dow was Boeing, whose shares
fell 3.4 percent to $74.34 on concerns about its new Dreamliner
passenger jets. Japan's two leading airlines grounded their
fleets of 787s after an emergency landing, adding to safety
concerns triggered by a series of recent incidents.
U.S. economic data showed consumer prices were flat in
December, pointing to muted inflation pressures that should give
the Federal Reserve room to prop up the economy by staying on
its ultra-easy monetary policy path.
Other data showed U.S. homebuilder confidence in the market
for single family homes held steady near seven year highs in
January, suggesting the outlook for the housing market remained
Volume was roughly 5.6 billion shares traded on the New York
Stock Exchange, the Nasdaq and the NYSE MKT, compared with the
2012 average daily closing volume of about 6.45 billion.
Decliners outpaced advancers on the NYSE by nearly 8 to 7
and on the Nasdaq by almost 7 to 5.