US STOCKS-Wall Street's five-day rally flickers out as earnings near

Reuters

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    * Financial stocks flat ahead of bank earnings next week
    * Energy stocks log biggest losses as oil prices drop
    * GM surges on upbeat 2019 earnings outlook 
    * Indexes end down: Dow 0.02 pct, S&P 500 0.01 pct, Nasdaq
0.21
pct

 (Updates to close)
    By Noel Randewich
    Jan 11 (Reuters) - Wall Street dipped slightly on Friday,
breaking a five-session rally, as energy shares declined and
investors looked ahead to earnings season, which kicks off next
week with Citigroup, JPMorgan and other big banks.  
    Underpinned by optimism over China-U.S. trade talks and
expectations of a slow pace of interest rate hikes from the
Federal Reserve, the stock market's winning streak through
Thursday added 6 percent to the S&P 500  .SPX  and left it up
about 10 percent from the 20-month low it hit around Christmas.
    The S&P 500 on Friday ended down just 0.01 percent after
recovering from a loss of 0.74 percent earlier in the session. 
    "We've clawed our way back and now the market is just
waiting ahead of the start of earnings season next week," said
Donald Selkin, Chief Market Strategist at Newbridge Securities
in New York. "We're just drifting."
    The S&P energy index  .SPNY  was off 0.63 percent, leading
declines among 11 sectors, as oil prices  LCOc1  dropped after
nine days of gains.  O/R  
    The financial index  .SPSY  climbed 0.17 percent. Citigroup
Inc  C.N , which will report earnings on Monday, rose 0.44
percent after agreeing to give shareholder ValueAct Capital more
access to its books and board of directors.  urn:newsml:reuters.com:*:nL1N1ZB0MU
    JPMorgan Chase & Co  JPM.N , which reports on Tuesday,
declined 0.48 percent. Some bargain hunters are betting on a
stronger 2019 for banks after the S&P 500 bank index  .SPXBK 
fell 18.4 percent in 2018.  urn:newsml:reuters.com:*:nL1N1ZB1B5
    U.S. stocks took a severe beating in the last quarter of
2018 due to worries over trade, interest rate hikes and a
slowdown in global growth. 
    Analysts expect S&P 500 companies' earnings per share to
grow by 6.4 percent this year, compared with 23.5 percent in
2018, when they were supercharged by newly enacted corporate tax
cuts, according to IBES data from Refinitiv.
    General Motors  GM.N  gave a strong earnings forecast for
2019, sending the automaker's shares surging 7.05 percent.
 urn:newsml:reuters.com:*:nL3N1ZB3X2
    The Dow Jones Industrial Average  .DJI  ended down 0.02
percent at 23,995.95 points, while the Nasdaq Composite  .IXIC 
dropped 0.21 percent to 6,971.48.
    The S&P 500  .SPX  ended down 0.38 points at 2,596.26.
    For the week, the S&P 500 rose 2.5 percent, the Dow added
2.4 percent and the Nasdaq picked up 3.4 percent.
    Netflix Inc  NFLX.O  rose 3.98 percent, bringing its gain in
2019 to 26 percent, helped by analysts' optimistic forecasts for
subscriber growth ahead of its earnings next week.  urn:newsml:reuters.com:*:nL3N1ZB3KW
    Activision Blizzard Inc  ATVI.O  slumped 9.37 percent, the
most on the S&P 500, after it transferred publishing rights for
its "Destiny" video game franchise to Bungie.  urn:newsml:reuters.com:*:nL3N1ZB3H2
    Advancing issues outnumbered declining ones on the NYSE by a
1.23-to-1 ratio; on Nasdaq, a 1.18-to-1 ratio favored advancers.
    The S&P 500 posted no new 52-week highs and no new lows; the
Nasdaq Composite recorded 20 new highs and 9 new lows.  
    Volume on U.S. exchanges was 6.8 billion shares, compared
with the 8.9 billion-share average over the last 20 trading
days.

 (Additional reporting by Sruthi Shankar in Bengaluru; editing
by Bill Berkrot)
 ((noel.randewich@tr.com; Twitter handle: @randewich  (415) 677
2542; Reuters Messaging:
noel.randewich.thomsonreuters.com@reuters.net))

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