UPDATE 1-IOSCO-Goldman CEO Blankfein sees long recession

(Updates with comment from Goldman spokesman in New York)

TEL AVIV, June 10 (Reuters) - Goldman Sachs (GS.N) CEO Lloyd Blankfein said on Wednesday he believed a current upturn in world markets was probably not a full recovery from crisis and said he expected a further long recession.

"I think it's going to be a long protracted recession," he told an international regulators conference in Tel Aviv.

Addressing a current upturn in markets, he said: "There is no reason to think this is it ... So many things have to be sorted out. Why would this be the recovery?

"The chances are it's not."

After Blankfein's remarks, Goldman spokesman Lucas van Praag in New York said the CEO was trying to convey that the markets are evidently much less concerned about the worst-case scenario.

"Lloyd Blankfein's view is that some people might think we're experiencing a long protracted recession, others might think we're experiencing a recovery," von Praag said.

"He believes that it seems a little early to be calling a recovery but, whether you think we're in a protracted recession or already experiencing a recovery, the increase in asset prices reflects the fact that the market has priced out a worst-case scenario." (Tel Aviv newsroom; Additional reporting by Dan Wilchins in New York)