* Euro zone ministers delay 12 bln euro loan to Greece
* Investors grapple with how much risk Greece crisis poses
* U.S. stocks rise but European shares down on unease (Adds fresh market prices)
By Herbert Lash
NEW YORK, June 20 (Reuters) - Oil prices slid and the euro wavered on Monday as investors sought to avoid risk after European finance ministers postponed doling out emergency loans to Greece until the debt-strapped country approves new austerity measures.
Euro zone ministers meeting in Luxembourg gave Greece two weeks to approve stricter austerity measures in return for another 12 billion euros ($17 billion) in aid, piling pressure on Athens to get its ragged finances in order. For more, see: [ID:nLDE75I0FM]
Many asset classes hovered near break-even as investors grappled with whether Greece's fiscal crisis posed systemic risks and with the outlook for a flagging U.S economy.
The euro slid against the Swiss franc but recouped losses against the U.S. dollar and yen, while the dollar rose slightly against a basket of major currencies. The U.S. Dollar Index <.DXY> rose 0.07 percent and the euro
"The strength of the franc shows investors are very nervous right now and are skeptical about Greece getting aid," said Kathy Lien, director of currency research at GFT Forex in New York. "If they were truly optimistic, we would not see the franc continue to remain strong."
U.S. equities moved higher, pulling global stock indexes up to break-even levels, and bond prices fell, erasing early gains as fears about U.S. stocks, where revenue is not driven by Europe, ebbed over contagion from Greece's debt crisis.
The CBOE Volatility Index <.VIX>, which tracks investor sentiment, slid 6.7 percent. In Europe, the Euro STOXX 50 volatility index <.V2TX>, one of Europe's main gauges of investor anxiety closed 5.3 percent higher.
"Even though the EU is talking tough it looks like things are going to come through in terms of providing additional funding, at least through the end of this year, and probably something will come together on the broader package as well," said Peter Jankovskis, co-chief investment officer of OakBrook Investments LLC in Lisle, Illinois.
Benchmark 10-year U.S. Treasury notes
The 10-year note has strong technical resistance at 2.88 percent, the lowest yield since the beginning of December and a level tested last week.
A further drop in U.S. bond yields may depend on whether investors fear a higher risk of contagion from the troubled euro zone, or see much weaker economic data.
"The market is having difficulty rallying without bad news from Europe or bad news on the side of the U.S. economy," said Charles Comiskey, head of Treasury trading at Bank of Nova Scotia in New York.
The Dow Jones industrial average <.DJI> was up 66.22 points, or 0.55 percent, at 12,070.58. The Standard & Poor's 500 Index <.SPX> was up 5.83 points, or 0.46 percent, at 1,277.33. The Nasdaq Composite Index <.IXIC> was up 12.08 points, or 0.46 percent, at 2,628.56.
European shares fell on growing unease about the euro zone debt crisis and a possible downgrade of Italy's credit rating. [ID:nLDE75J1P7]
The pan-European FTSEurofirst 300 <.FTEU3> index of top shares closed 0.5 percent lower at 1,081.19 points, its lowest closing level in three months.
World stocks measured by the MSCI All-Country World Index <.MIWD00000PUS> straddled break-even, down 0.1 percent.
Oil prices in London, which now reflect global sentiment on crude, fell while U.S crude prices rose.
Brent crude
U.S. light crude
Commodity markets remained fixed on the European debt crisis.
"An expected short-term agreement will likely enable markets to breathe a little easier and allow commodity complexes to stage a respectable bounce on account of a stronger euro," MF Global analysts said in a note.
"However, any 'solution' for Greece will be a temporary fix at best, as this issue is far too difficult to be wrapped up in a few weeks."
Spot gold prices