* U.S. stocks rebound on reassessment of Goldman impact
* U.S. dollar, yen advance on Greece worries
* Oil drops to $81 a barrel as risk appetite wanes
* Bond prices ease as stocks show renewed strength
(Updates with close of U.S. markets)
By Herbert Lash
NEW YORK, April 19 (Reuters) - U.S. stocks rebounded on
Monday after investors reassessed the potential fallout from
the fraud charges against Goldman Sachs while the dollar rose
on safe-haven demand spurred by delayed Greece debt talks.
Risk aversion eased late in the day on Wall Street as fears
about the impact of the Goldman case ebbed and investors turned
their attention to pending results from companies reporting
first-quarter earnings. For details see: []
Shares of Citigroup Inc. <C.N> jumped 7 percent after it
became the latest company to surprise on the upside, turning in
its best results since 2007. []
Goldman's shares reversed course to rise 1.6 percent on
expectations it will report blow-out earnings on Tuesday.
Analysts said the rebound was due in part to a Bloomberg
report that said the U.S. Securities and Exchange Commission
had split 3-2 along party lines to approve its enforcement case
against Goldman, citing two people with knowledge of the vote.
[]
"The fact that the vote was close has been the proximate
cause for the stock's rally. This means it wasn't a clear cut
decision by the SEC," said Doug Kass, president of Seabreeze
Partners Management, in Palm Beach, Florida.
The Dow Jones industrial average <> closed up 63.56
points, or 0.58 percent, at 11,082.22. The Standard & Poor's
500 Index <.SPX> gained 4.16 points, or 0.35 percent, at
1,196.29. The Nasdaq Composite Index <> slipped 4.22
points, or 0.17 percent, at 2,477.04.
Global shares as measured by MSCI's all-country world index
<.MIWD00000PUS> fell 0.6 percent, weighed by a 2 percent slide
in emerging markets <.MSCIEF>.
Concerns about a delay in planned talks in Greece with the
European Union and International Monetary Fund over a possible
45 billion euro ($62.91 billion) bailout added to risk aversion
earlier in the session.
Both Greek bond prices and banking shares fell. Investors
are keen to see Athens activate the rescue package, but the ash
cloud caused by the Icelandic volcano disrupted travel in
Europe and helped delay the Greek debt talks. []
Copper fell to three-week lows and crude oil slipped more
than 2 percent, briefly falling below $81 a barrel, as flying
restrictions in Europe ate into jet fuel demand and the Goldman
fraud charges dampened risk appetite.
U.S. crude for May delivery <CLc1> fell $1.79 to settle at
$81.45 a barrel, capping its biggest three-day loss since Feb.
3-5. Earlier, U.S. oil touched $80.53, the lowest intraday
price since March 29.
Brent crude <LCOc1> prices for June fell $1.76 to $84.23.
Gold dropped on weakness after last week's sell-off, hurt
by softer sentiment on the charges against Goldman, a leading
commodities player. []
U.S. June gold futures <GCM0> settled down $1.10 at
$1,135.80 an ounce in New York.
U.S. Treasury debt prices eased as the late surge on Wall
Street spurred investors to sell lower-risk government debt and
take profits from price gains made last week.
Falling share prices in Europe over the paralysis of air
traffic and the absence of movement on aid for Greece helped
maintain Treasuries' appeal as a safe haven for investors.
"Equities have rebounded so Treasuries are selling off --
that is really the story here, we are all watching equities,"
said James Caron, head of global rates research at Morgan
Stanley in New York.
The benchmark 10-year U.S. Treasury note <US10YT=RR> was
down 9/32 in price to yield 3.80 percent.
Overnight in Asia stocks suffered their biggest loss in 10
weeks on news of the Goldman charges and after China clamped
down harder on property speculation,
MSCI's index of Asian stocks outside Japan <.MIAPJ0000PUS>
shed 2.1 percent, its sharpest daily loss since Feb 5. In Tokyo
the Nikkei <> was down 1.7 percent.
(Reporting by Leah Schnurr, Gertrude Chavez-Dreyfuss, Emily
Flitter in New York; Alex Lawler, Atul Prakash, Ian Chua, Jan
Harvey and Rebekah Curtis in London; Writing by Herbert Lash;
Editing by Kenneth Barry)
