Financials up sharply Ford rises on upbeat production forecast for electric pickup Indexes: Dow up 0.7%, S&P off 0.1%, Nasdaq falls 1.6% NEW YORK, Jan 4 (Reuters) - The Nasdaq (.IXIC) and S&P 500 (.SPX) fell in afternoon trading Tuesday along with shares of big growth names, while the Dow Jones Industrial Average (.DJI) rose as bank stocks surged with U.S. Treasury yields. The Nasdaq Composite reversed Monday"s strong gains to fall more than 1%, along with declines in shares of Tesla Inc (TSLA.O), Microsoft Corp (MSFT.O) and Apple Inc (AAPL.O). Tesla fell 4.4%, a day after jumping more than 13% on stronger-than-expected quarterly deliveries while Apple, which became the first company to briefly hit $3 trillion in market capitalization on Monday, was down 1.1%. The Dow hit a record intraday high and the S&P financials index (.SPSY) was on track for an all-time closing high, led by bank shares. The S&P 500 bank index (.SPXBK) was up 3.7% and on track for its best day in about a year. Some strategists said financials and other value-oriented stocks could lead markets in the near term as investors gear up for interest rate hikes from the Federal Reserve by mid-year to curb high inflation. U.S. Treasury yields rose for a second trading day. read more Investors are "going to punish growth stocks with high valuations," said Robert Phipps, a director at Per Stirling Capital Management in Austin, Texas. "This is a time when defensive stocks and value stocks are likely to outperform." The S&P 500 value index (.IVX)climbed 1.1%, while the S&P 500 growth index (.IGX) was down 1.4%. The Dow Jones Industrial Average (.DJI) rose 258.2 points, or 0.71%, to 36,843.26; the S&P 500 (.SPX) lost 4.74 points, or 0.10%, at 4,791.82; and the Nasdaq Composite (.IXIC) dropped 256.34 points, or 1.62%, to 15,576.46. The U.S. central bank said last month it would end its pandemic-era bond buying in 2022, signaling at least three rate hikes for the year. Minutes from the meeting are expected to be released on Wednesday. The S&P 500 also hit an intraday all-time high before falling, as the World Health Organization said more evidence was emerging that the coronavirus variant caused milder symptoms than previous variants. read more Ford Motor Co (F.N)jumped 11.1% after the automaker said it would nearly double annual production capacity for its red-hot F-150 Lightning electric pickup to 150,000 vehicles. read more Earlier, U.S. manufacturing data for December showed some cooling in demand for goods, but investors took solace in signs of supply constraints easing. read more Advancing issues outnumbered decliners on the NYSE by a 1.16-to-1 ratio; on Nasdaq, a 1.54-to-1 ratio favored decliners. The S&P 500 posted 70 new 52-week highs and one new low; the Nasdaq Composite recorded 98 new highs and 94 new lows.