US STOCKS-Wall St bounces after sell-off; Google climbs
* GE, IBM shares drop after earnings
* Preliminary July UMich reading misses expectations
* Indexes up: Dow 0.23 pct, S&P 0.35 pct, Nasdaq 0.61 pct (Updates to open; adds quote, data)
By Chuck Mikolajczak
NEW YORK, July 18 (Reuters) - U.S. stocks rebounded modestly on Friday, after the S&P 500 suffered its worst decline since April 10, but the benchmark index remained on track for a second straight weekly decline.
Investors will continue to keep a close eye on geopolitical tensions, as world leaders demanded an investigation after a Malaysian airliner was downed at the Ukraine-Russia border and Israel announced the start of a Gaza ground campaign on Thursday.
The CBOE Volatility index dropped 8.1 percent to 13.36, after a 32 percent surge to 14.54 in the prior session - its biggest jump since April 2013. The index still remains well below its historical average of around 20.
Google Inc gained 2.2 percent to $593.52 as the biggest boost to the S&P 500 after the world's No.1 Internet search company posted second-quarter results and said its chief business officer would leave the company.
"It seems counter-intuitive given the ruthlessness with which the market sold off yesterday, but in the broader context the markets are generating a lot of attractive themes," said Peter Kenny, chief market strategist at Clearpool Group in New York. Continuación...