*

US doubles steel duties on Wednesday, to receive 'best

offers'

from trade partners

*

Trump to speak this week with China's Xi amid clash over

tariff

truce

*

Japan's yen slips; sources tell Reuters of BOJ's bond

tapering

plan for next year

*

US ADP data and ISM services report awaited

(Updates with European afternoon trading)

By Kevin Buckland and Johann M Cherian

TOKYO, June 4 (Reuters) - The dollar wobbled against

most major currencies on Wednesday as investors grappled with

President Donald Trump's tariff negotiations with key trading

partners, especially China, ahead of a batch of economic data.

The Trump administration has given a deadline of Wednesday

for countries to submit their best offers on trade, the same day

duties on imported steel and aluminium doubled.

Trump is also tipped by the White House to have a call this

week with Chinese President Xi Jinping, after the two sides

accused each other of violating the terms of an agreement last

month to roll back some tariffs.

"What happened was that the market was quite relaxed about

U.S. and China until we heard the sort of ramping up of rhetoric

from Trump at the end of last week," said Fiona Cincotta, City

Index's senior markets analyst.

"That has really put the focus back on this call and the

market will be looking for a sense that the two leaders are at

least getting towards the same page."

Trump on Wednesday posted on his social media platform that

Xi was "tough" and "hard to make a deal with".

The Swiss franc edged 0.1% higher to 0.8233

francs to the dollar, while the dollar index, which

measures the currency against six others, was flat at 99.194,

not far from its late April low.

The euro rose 0.12% to $1.1384 by 1116 GMT

ahead of the European Central Bank's decision on interest rates

expected on Thursday.

Sterling was flat at $1.3552. The UK and its

metal exports are exempt from the increased U.S. duties, given

Britain has a trade deal in place.

In the meantime, traders were also keyed in on developments

in Japanese markets after sources told Reuters the Bank of Japan

is considering slowing down the pace of tapering in its bond

purchases from next fiscal year onward.

The Japanese bond market was a main focus of market

participants late last month, after a weak auction for

longer-dated bonds further complicated the BoJ's efforts to

reduce its presence in its debt market.

On Wednesday, the Japanese yen was down 0.14% at 144.155

per dollar, while yields on longer-dated tenors were marginally

higher.

FOCUS ON ECONOMIC HEALTH

Economic indicators have returned as a driver of the U.S.

currency this week and sentiment overall has been buoyed by data

so far that analysts say is yet to reflect the full damage of

trade uncertainty.

In Europe, business activity was largely steady in May, a

survey showed, with upcoming ECB rate cuts and potential fiscal

stimulus anticipated to be the next catalyst.

Traders will also parse the ISM services sector report

out of the U.S. along with ADP employment data that could

reflect the health of the private sector. Friday will bring the

highly anticipated monthly payrolls figures.

Elsewhere, the Canadian dollar was flat at C$1.3710

versus its U.S. peer. The Bank of Canada is likely to hold

interest rates steady later on.

Both Canada and Mexico are exposed to the higher U.S.

tariffs on industrial metals. Mexico's peso was steady.

South Korea's won strengthened about 1% to 1,363.92

per dollar after the victory of liberal candidate Lee Jae-myung

in the country's presidential election.

Hong Kong's dollar was last flat at 7.8465 per

greenback - which is close to the weak end of the Hong Kong

Monetary Authority's trading range of 7.75-7.85 that it

maintains against the dollar.