* Indexes down: Dow 0.72%, S&P 500 0.33%, Nasdaq 0.36%

* Goldman Sachs ( GS ) drops after earnings

* Sandisk ( SNDK ) rises on Nasdaq-100 inclusion

(Updated after markets open)

By Niket Nishant and Avinash P

April 13 (Reuters) - Wall Street's main indexes slipped

on Monday after weekend talks between the U.S. and Iran failed

to deliver a deal to end the war, threatening a nascent recovery

in equities and risking a renewed bout of volatility.

The declines indicate that any relief from the ceasefire

reached last week could be fleeting, underscoring the risks of

leaning too heavily into bullish bets when the geopolitical

environment remains uncertain.

Adding to the uncertainty was the U.S. military blockade of

all maritime traffic entering or leaving Iranian ports and

coastal areas, a move aimed at increasing pressure on Tehran.

The CBOE Market Volatility Index, the market's fear

gauge, climbed to 20.61 points.

"We expect renewed pressure on risk assets and upward moves

in oil early this week," said Benjamin Jones, global head of

research at Invesco.

"There has been a de-escalation in the armed conflict but

the scale of the de-escalation and lack of clarity on when trade

flows will resume leaves us broadly still in the same place --

status quo -- from an economic perspective."

GOLDMAN DROPS AFTER EARNINGS

Hopes of relief on the earnings front were dashed after

Goldman Sachs ( GS ) shares fell 4.1% due to weakness in its

fixed income, currencies and commodities division.

"We don't see the market really paying too much attention to

the earnings beat. And it's all because of prospects of higher

inflation, weaker economic activity and a Fed that may be forced

to stay on hold for a long, long time," said Peter Cardillo,

chief market economist at Spartan Capital Securities.

Attention now turns to commentary from Goldman executives,

for clues on how the Middle East conflict, now in its seventh

week, is impacting the economy and capital markets.

Financial stocks declined 0.6%.

As of 09:40 a.m. ET, the Dow Jones Industrial Average

fell 356.14 points, or 0.72%, to 47,572.11, the S&P 500

dropped 22.25 points, or 0.33%, to 6,794.64 and the Nasdaq

Composite slipped 81.74 points, or 0.36%, to 22,821.15.

The shift in sentiment was also visible across other asset

classes, with investors gravitating toward the safe-haven U.S.

dollar while trimming exposure to equities across geographies.

Oil prices jumped back above $100 a barrel, aggravating

inflation worries after data last week showed that a record

surge in the cost of gasoline and diesel prompted the biggest

increase in U.S. consumer prices in nearly four years in March.

Chevron ( CVX ), Exxon Mobil ( XOM ) and ConocoPhillips ( COP )

climbed 1.8%, 1.2% and 2%, respectively, pushing energy

stocks 1.2% higher and making it the only major sector

in positive territory.

Travel-related stocks dropped, with carriers such as Delta

Air Lines ( DAL ) and JetBlue Airways ( JBLU ) down 2.9% and

2.4%, respectively, on concerns that higher oil prices might

push up fuel costs.

Industrial supplies distributor Fastenal's ( FAST ) shares

fell 2.6% after earnings. Sandisk ( SNDK ) added 4% as the

memory chipmaker was on track to join the Nasdaq-100 index

on April 20.

Later in the day, data is due on existing home sales in the

U.S., and Federal Reserve Governor Stephen Miran is scheduled to

speak.

Declining issues outnumbered advancers by a 2.43-to-1 ratio

on the NYSE and by a 1.7-to-1 ratio on the Nasdaq.

The S&P 500 posted 6 new 52-week highs and 11 new lows while

the Nasdaq Composite recorded 30 new highs and 51 new lows.