* European stocks open lower, buck slight Asia gains
* Dollar takes fresh data hit, gives gold a fillip
* Oil gives up some gains after output cut
* Graphic: 2020 asset performance http://tmsnrt.rs/2yaDPgn
* Graphic: World FX rates in 2020 http://tmsnrt.rs/2egbfVh
By Simon Jessop and Alun John
LONDON/HONG KONG, Aug 18 (Reuters) - European shares slipped on Tuesday as simmering political tensions between the United States and China escalated, while concerns over a deadlock on further U.S. fiscal stimulus drove the dollar towards a two-year low against its rivals.
A weaker opening for the region's blue-chip euro STOXX 50 .STOXX50E weighed on Asian stocks with MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS giving up early gains to trade flat.
U.S. stock futures ESc1 were down 0.2%, pointing to a weaker start on Wall Street and inching back slightly after tech stocks had pushed sister index the Nasdaq to a record high on Monday. much of the equity market weakness was a fresh instalment of the escalating spat between the United States and China, with President Trump announcing further restrictions overnight on tech giant Huawei Technologies Co HWT.UL .
Amid concern about the close ties between Beijing and the maker of mobile phones and other tech, the Trump administration moved to limit its access to commercially available chips, a move set to disrupt global supply chains. when you thought things were cooling off between the U.S. and China, Washington goes and pokes the dragon," said financial analyst Connor Campbell at spreadbetters Spreadex. "Their trade war anxieties reignited, the reaction from the European indices was predictable."
Amid a sea of red for European equities, Britain's blue-chip FTSE 100 .FTSE stood out, down 0.8%. Among the losers, mining company BHP Group BHP.AX BHPB.L after profit missed forecasts and it warned of a slowing global economy outside China. Asia, Korean stocks fell 2%, with Chinese blue chips .CSI300 flat and Japan's Nikkei .N225 dipped 0.2%.
Investors had to balance the moves against Huawei with Trump's comments that China was meeting its obligations under the trade deal, pushing the Chinese currency to a more than 5-month high against the greenback CNY=CFXS .
In currency markets, the overarching theme was the broadening dollar weakness story which weighted on European government bond yields and lifted the prices of alternative safe-haven assets such as gold.
The latest blow to the struggling dollar came from disappointing manufacturing and mortgage data with the greenback hitting a fresh 5-1/2 year low against the Swiss franc CHF=EBS and nearing a two-year low against a basket of its rivals, hit earlier this month. FRX/
In bonds, benchmark 10-year U.S. Treasuries US10YT=RR were last down around 1 basis point at 0.6671. In Europe, German government bond yields held steady at a three-day low, eyeing rangebound trade ahead of crucial flash PMI data on Friday.
In commodities, oil prices edged lower, giving up a slice of their recent gains after OPEC+ said the producer grouping was almost fully complying with output cuts.
Brent crude LCOc1 was down 3 cents, or 0.1%, at $45.34 a barrel, after gaining 1.3% on Monday. U.S. crude CLc1 was down 0.3%, at $42.78 a barrel, having risen 2.1% in the previous session
Safe haven gold closed higher after Berkshire Hathaway (NYSE:BRKa) also disclosed a stake in Toronto-based Barrick Gold Corp ABX.TO , one of the world's largest mining companies.
Spot gold XAU= added 1% to once again breach the $2,000 an ounce barrier, trading at $2,006 an ounce.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ Global assets
http://tmsnrt.rs/2jvdmXl Global currencies vs. dollar
http://tmsnrt.rs/2egbfVh Emerging markets
http://tmsnrt.rs/2ihRugV MSCI All Country Wolrd Index Market Cap
http://tmsnrt.rs/2EmTD6j
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Editing by David Evans)