Any stream cipher with avalanche effect? As far as I know, all stream ciphers work by generating a stream of pseudo random bytes, and XOR it with the plain text to get the cipher text. It has the property that one bit change in the cipher text results only the corresponding bit change in the decrypted message.

Is there any stream cipher that has the avalanche effect, where one bit change in the cipher text will result about half of the bits changed in the decrypted message after the corresponding bit?
A stream cipher, by definition, acts on individual bits at a time. This effectively means that bits later in the plaintext cannot affect bits around the beginning of the ciphertext. It can, however, feed the ciphertext back into the state of the PRNG to affect all future bits. This can be seen in the CFB (Cipher Feedback) block cipher mode. It acts similarly to a stream cipher, in that each ciphertext bit can be drawn one at a time, but they feed back into the system to affect all future bits.