GLOBAL MARKETS-Stocks, dollar on a rollercoaster as US slaps tariffs on China, China hits back

By Tom Westbrook

SINGAPORE, Feb 4 (Reuters) - U.S. stock futures slipped, the dollar jumped and Hong Kong shares toppled from two-month highs on Tuesday after the U.S. imposed tariffs on Chinese imports and China quickly responded in kind.

S&P 500 futures ESc1, which had bounced in relief that Mexico and Canada had cut deals to delay a tariff hit, swung to a 0.4% loss. European futures STXEc1 slipped 0.2% and the euro EUR=EBS skidded beneath $1.02 on nerves Europe may be next.

Hong Kong's Hang Seng .HSI pared gains of more than 2% to trade about 1.8% higher for the day.

An additional 10% U.S. tariff on Chinese exports took effect at 0501 GMT. Minutes after, Beijing announced it was imposing tariffs on imports of U.S. oil, coal, gas, cars and farm equipment to take effect on Feb. 10 - reigniting market concern about a prolonged and messy tit-for-tat trade conflict.

Bitcoin BTC= came under selling pressure and fell 3% to $98,750.

"I think you see what we should get very used to, which is this kind of rollercoaster of public negotiation around tariffs and other policy," said Ross Mayfield, investment strategy analyst at Baird in Louisville, Kentucky.

Australian shares .AXJO fell at the closing auction to finish just beneath flat. Japanese .N225 stocks pared gains.

Trump's press secretary said he will speak with Chinese President Xi Jinping in the next couple of days.

Chinese markets remain shut for the Lunar New Year break, though the offshore yuan CNH=D3 slid to 7.3236 per dollar after the tariffs took effect.

The more liquid Australian dollar AUD=D3, often seen as a proxy for the yuan, fell 0.7% to $0.6180.

Gold XAU= struck record highs on Monday as worries of a worldwide trade war pushed investors to safety. It traded close to those levels at $2,817 an ounce on Tuesday while Treasury yields crept a touch higher, with markets divided on whether there will be two or just one U.S. rate cut this year.

"The increase in policy uncertainty will be hard to put back in the bottle," noted J.P. Morgan's chief U.S. economist, Michael Feroli.

"For the Fed, the weekend's developments will likely reinforce their inclination to sit on the sidelines and to remain below the radar as much as possible."

(Reporting by Tom Westbrook in Singapore. Additional reporting by Stephen Culp and Nell Mackenzie; Editing by Cynthia Osterman, Jacqueline Wong, Shri Navaratnam and Kim Coghill)

((tom.westbrook@tr.com; +65 6973 8284;))