* Google drops 5 percent, Goldman plunges by 11 percent
* SEC charges Goldman Sachs with fraud
* Euro snaps 5-day winning streak on renewed Greek fears
(Recasts with U.S. market open, adds New York dateline)
By Jennifer Ablan and Sebastian Tong
NEW YORK/LONDON, April 16 (Reuters) - U.S. stocks slid on
Friday after Google Inc. <GOOG.O> earnings disappointed and
U.S. regulators charged Goldman Sachs <GS.N> with fraud, while
the euro dropped on worries about Greece's debt crisis.
In a flight to safety, investors moved into U.S. government
debt, pushing up prices.
In New York, equities were under pressure as Google tumbled
5 percent after reporting a 23 percent jump in quarterly
revenue but missing analysts' "whisper number," the unpublished
estimate that some analysts give clients.
Adding to the market's gloom, Goldman shares were down
nearly 11 percent after the Securities and Exchange Commission
charged the New York firm with fraud in structuring and
marketing of collateralized debt obligations tied to subprime
mortgages. For details click on [].
Bank of America Corp. <BAC.N> shares were down more than 1
percent, dragging along other banks and financial companies,
after it reported profits.
"We've had something like an 11 percent gain since the last
earnings season, and then an uninterrupted six-week rally,"
said Joseph Battipaglia, market strategist at Stifel Nicolaus
in Yardley, Pennsylvania.
"We're reaching a point where we look into the future and
wonder if we can sustain GDP growth that's north of 3 percent.
We don't know what that means for ongoing profitability, and
that question is what is occupying the market," he said.
At 10:59 a.m., the Dow Jones industrial average <> was
down 54.87 points, or 0.49 percent, at 11,089.70, while the
Standard & Poor's 500 Index <.SPX> was down 12.02 points, or
0.99 percent, at 1,199.65. The Nasdaq Composite Index <>
was down 19.24 points, or 0.76 percent, at 2,496.45.
The MSCI's global equity index <.MIWD00000PUS> dipped 1.16
percent, moving in sympathy with U.S. markets, though shares
remained set for their seventh straight weekly gain. The
pan-European FTSEurofirst 300 <> also was down more than
1 percent.
Overall, global shares edged off 16-month highs on Friday
as persistent uncertainty over Greece's ability to pay its
debts tempered optimism over the global economic recovery.
The euro remained pressured and Greek bond yields rose
after Athens said it was preparing to activate an IMF/EU
financial aid package. [].
The euro <EUR=> was down 0.41 percent at $1.3523 from a
previous close of $1.3579.
The dollar rose against a basket of major trading-partner
currencies, with the U.S. Dollar Index <.DXY> up 0.21 percent
at 80.649.
Against the Japanese yen, the dollar <JPY=> was down 0.56
percent at 92.47 from a previous close of 92.990.
GREECE MOVES
The euro retreated against the dollar, snapping a five-day
winning streak due to renewed worries over Greece's ability to
service its sovereign debt.
Greece lurched closer toward asking for international aid
after it requested official talks with European authorities and
the International Monetary Fund.
European Central Bank President Jean-Claude Trichet told
euro zone finance ministers that the situation for Greek banks
remains difficult and could deteriorate further.
[]
The cost of insuring Greek sovereign debt rose some 10
basis points from Thursday's close to 428.5 bps, according to
CMA DataVision. Greek 10-year bond yields <GR10YT=TWEB> rose to
7.4 percent, widening the 10-year Greek/German government bond
yield spread.
U.S. Treasury debt, investors' favorite safe haven, rose.
The benchmark 10-year U.S. Treasury note <US10YT=RR> was up
14/32, with the yield at 3.78 percent, while the 2-year U.S.
Treasury note <US2YT=RR> was up 3/32, with the yield at 0.96
percent. The 30-year U.S. Treasury bond <US30YT=RR> was up
12/32, with the yield at 4.69 percent.
In energy and commodities prices, U.S. light sweet crude oil
<CLc1> fell $1.03, or 1.2 percent, to $84.48 per barrel, and
spot gold prices <XAU=> fell $4.80, or 0.41 percent, to
$1153.10. The Reuters/Jefferies CRB Index <.CRB> was down 0.56
points, or 0.2 percent, at 279.19.
(Additional reporting by Simon Falush; Editing by Kenneth
Barry)
