* MSCI Asia ex-Japan index flat, Nikkei rebounds 1.1 pct
* Tariffs on $34bn of Chinese goods take effect at 0401 GMT
* U.S. Fed expresses concern over trade tensions
By Andrew Galbraith
SHANGHAI, July 6 (Reuters) - Asian share markets were set for a bumpy ride on Friday just hours ahead of a U.S. deadline to impose tariffs on Chinese imports, which has rattled financial markets in recent weeks as investors feared it could trigger a full-blown global trade war.
On Thursday, U.S. President Donald Trump confirmed that the United States would begin collecting tariffs on $34 billion worth of Chinese imports at 12:01 a.m. Washington time (0401 GMT) on Friday, and warned that subsequent rounds could see tariffs imposed on more than $500 billion worth of goods. risk that further escalation derails growth is keeping some investors cautious," ANZ analysts said in a note Friday.
The Sino-U.S. trade dispute has roiled financial markets including stocks, currencies and the global trade of commodities from soybeans to coal over the past several weeks.
Overnight gains in European and U.S. equities, however, provided some comfort for the start of Asian trading. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS inched up 0.05 percent, with some support from early gains in Korean and Australian shares.
Japan's Nikkei stock index .N225 was 1.1 percent higher after closing at a three-month low on Thursday, while Australian shares .AXJO gained 0.2 percent. Seoul's Kospi index .KS11 edged up 0.2 percent.
In Thursday's Wall Street session, the Dow Jones Industrial Average .DJI rose 0.75 percent, the S&P 500 .SPX 0.86 percent and the Nasdaq Composite .IXIC 1.12 percent.
U.S. and European shares were boosted by reassuring economic data from Germany, and as automakers' shares .SXAP jumped, with German Chancellor Angela Merkel saying she would back lowering European Union tariffs on U.S. car imports after Washington offered to scrap threatened tariffs on European cars. newly released minutes from the U.S. Federal Reserve's last policy meeting on June 12-13 showed policymakers discussed whether recession lurked around the corner, and expressed concerns global trade tensions could hit an economy that by most measures looked strong. yield on benchmark 10-year Treasury notes US10YT=RR was at 2.8364 percent. The two-year yield US2YT=RR , which rises with traders' expectations of higher Fed fund rates, touched 2.5527 percent compared with a U.S. close of 2.561 percent.
Gold, which is sensitive to rising interest rates, was flat. Spot gold XAU= traded at $1257.63 per ounce. GOL/
The dollar fell slightly against the yen, dropping 0.1 percent to 110.54 JPY= .
The single currency EUR= was up a hair on the day at $1.1694, while the dollar index .DXY , which tracks the greenback against a basket of six major rivals, turned down 0.1 percent to 94.365.
Oil prices ticked up after falling on U.S. government data that showed an unexpected jump in crude oil stockpiles. crude CLc1 rose 0.2 percent at $73.08 a barrel. Brent crude LCOc1 was also 0.2 percent higher at $77.52 per barrel.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ MSCI, Nikkei datastream chart
http://reut.rs/2sSBRiD
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>