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UnitedHealth ( UNH ) gains on Q1 profit beat

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Fed Chair Jerome Powell sees higher rates for longer

(Updates to close of trading)

By Chibuike Oguh

April 16 (Reuters) - Wall Street stocks ended mixed on

Tuesday as Treasury yields climbed, with investors weighing the

likely path of interest rates in a resilient U.S. economy with

persistent inflation.

Federal Reserve Chair Jerome Powell said on Tuesday recent

inflation data has not given policymakers enough confidence to

ease credit soon, noting that the U.S. central bank may need to

keep rates higher for longer than previously thought.

The Dow Jones Industrial Average got a boost from

UnitedHealth Group's ( UNH ) better-than-expected quarterly

results.

The technology and healthcare sectors were the biggest

supports for the S&P 500, while real estate was the biggest drag

on the index.

"People are trying to balance this two-sided narrative: U.S.

economic growth, which looks really good, and at the same time

the inflation picture and interest rates, which will eventually

be problematic for the equity market," said James St. Aubin,

chief investment officer at Sierra Mutual Funds in California.

A report on Monday showed retail sales grew more than

expected in March, a sign of U.S. economic resilience that

helped push benchmark U.S. 10-year Treasury yields

to five-month highs on Tuesday.

According to preliminary data, the S&P 500 lost 10.67

points, or 0.21%, to end at 5,051.15 points, while the Nasdaq

Composite lost 21.94 points, or 0.12%, to 15,863.08. The

Dow Jones Industrial Average rose 60.74 points, or 0.17%,

to 37,799.34.

The S&P 500 and the Nasdaq are nearly 4% off from record

high levels reached last month.

Shares of Morgan Stanley ( MS ) rose after its first-quarter

profit beat estimates on resurging income from investment

banking.

Bank of America ( BAC ) dropped after the lender posted

lower first-quarter profits as its loan loss provisions grew.

Johnson & Johnson ( JNJ ) slipped as the drugmaker's revenue

missed analysts' estimates after sales from its blockbuster

psoriasis drug, Stelara, fell short of expectations.

Tesla slipped a day after falling over 5% on news

that the EV marker plans to lay off more than 10% of its global

workforce.