(Updated at 10:34 a.m. ET (1434 GMT)

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Dollar drifts, US yields mostly higher

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Euro and sterling steady against dollar

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Trump orders additional tariffs on goods from India

By Chris Prentice and Alun John

NEW YORK/LONDON, Aug 6 (Reuters) - Global shares were

mixed on Wednesday, with most major Wall Street equity indexes

nudging higher and European shares retreating, while yields on

U.S. Treasuries mostly rose.

U.S. President Donald Trump issued an executive order imposing

an additional 25% tariff on goods from India, saying the country

has imported Russian oil.

The tariffs and a larger-than-expected draw in U.S. crude

lifted oil prices after four days of declines.

MSCI's gauge of stocks across the globe rose

0.22% to 929.26.

Shares on Wall Street were mixed, with the Dow Jones

Industrial Average down 0.14% to 44,049.38, while the S&P

500 edged up 0.11% to 6,306.23 and the Nasdaq Composite

advanced 0.23% to 20,964.46.

Europe's broad STOXX 600 index turned down, last

retreating 0.15%.

MSCI's broadest index of Asia-Pacific shares outside Japan

closed lower by 0.08% to 654.33, while Japan's

Nikkei rose 245.32 points, or 0.60%, to 40,794.86.

The health of the U.S. economy is a major focus for markets, and

Wall Street closed lower on Tuesday after data showed services

sector activity unexpectedly flatlined in July.

That reinforced the message from Friday's soft jobs data, which

caused markets to significantly increase bets on the Federal

Reserve cutting rates in September.

"There's this tug-of-war going on between the more concrete

signs that we have seen that the U.S. economy is slowing and the

fact that rate cuts are coming, which removes some of the

pressure on valuations," said Samy Chaar, chief economist at

Lombard Odier.

Traders have been focused on tariff impacts.

"The market is more focused on the fact that we're not

getting maximalist tariffs, but I wonder if it isn't focusing

enough on the fact that we are still getting something moderate,

and more could be coming, pharmaceuticals for example," Chaar

said.

Trump on Tuesday said he would announce tariffs on

semiconductors and chips in the next week or so, while the U.S.

would initially impose a "small tariff" on pharmaceutical

imports before increasing it substantially in a year or two.

He said the U.S. was close to a trade deal with China, and he

would meet his Chinese counterpart Xi Jinping before the end of

the year if an agreement was struck.

In the government bond market, Treasury yields gained ground.

More supply will hit the market this week, with $42 billion in

10-year notes on Wednesday and $25 billion in 30-year bonds on

Thursday.

Fed funds futures imply a 94% chance of a rate cut next

month, with at least two cuts priced in for this year, according

to the CME's FedWatch.

Investors are waiting for Trump's pick to fill a coming vacancy

on the Fed board of governors. Trump said the decision will be

made soon, while ruling out Treasury Secretary Scott Bessent as

a contender to replace current chief Jerome Powell, whose term

ends in May 2026.

European currencies gained. The euro was 0.46% higher at

$1.1627.

The dollar index, which measures the greenback

against a basket of currencies including the yen and the euro,

fell 0.31% to 98.43.

Brent oil futures rose 0.92% to $68.26 and U.S.

crude gained 0.94% to $65.77.

Spot gold prices fell 0.14% to $3,376.08 an ounce.