GLOBAL MARKETS-Shares, bonds rebound as liquidity fears ease, dollar dips
* Dollar dips for first time since Fed signals withdrawal of stimulus
* China's central bank soothes credit worries, lifting shares off lows
* MSCI World stock gains 0.3 pct, Wall St seen firmer
* U.S. Treasury yields steady below two-year highs
LONDON, June 25 (Reuters) - World bonds, equities and commodities recovered some of their recent losses on Tuesday, and the dollar eased as comments by U.S. and Chinese central bankers eased concerns about liquidity conditions.
However, trading was cautious before a batch of U.S. data which could reignite speculation over the timing of the Federal Reserve's next move, though stock index futures pointed to further gains when Wall St opened.
Markets from safe-haven U.S. Treasuries to riskier stocks, credit instruments and emerging market assets have fallen for nearly a week on worries about the impact of an end to the Fed's bond buying, and as signs emerged of a credit crunch in China.
Analysts said the respite in the selling was likely to be only temporary as concerns over the Fed's move away from its ultra-loose monetary policy, in particular, was certain to fuel further shifts by investors.
"There really is a lot of uncertainty. We haven't really seen any big volumes so far as a 'buy on the dip' mentality goes," said Alastair McCaig, a market analyst at IG.
The end of the market's recent rout began when two Fed policymakers on Monday downplayed the notion of an imminent end to the central bank's money-printing and said the market reaction was not yet a cause for concern.
Asian markets then capped a day of wild swings, during which Chinese stocks plunged to their lowest since the global financial crisis began, with a late rally on hopes authorities in China would step in to prevent a crisis.
China's central bank fuelled the talk at a news briefing where it sought to allay fears of a credit squeeze by committing to guide interest rates to "reasonable" levels after they had been allowed to spike over the past week.
Adding to the reassuring comments, a European Central Bank executive board member said the ECB needed to ensure euro zone bond yields were not adversely affected by the Fed's plan to dial back its stimulus programme.
By midday in Europe, the soothing words from the monetary authorities had lifted the broad FTSEurofirst 300 index FTEU3> by over 1.25 percent, recovering some of the 5.5 percent lost in the previous three trading days.
Global shares tracked by MSCI's world equity index were up 0.4 percent, but are only 2.3 percent higher than where they started the year.
"After all the moves we've seen in U.S. dollar buying, selling bonds, selling equities, I think we're going into a consolidation period," said Greg Matwejev, director of FX Hedge Fund Sales and Trading at Newedge.
The dollar fell for the first since Chairman Ben Bernanke said last Wednesday the Fed could begin tapering back its $85 billion of monthly bond purchases later this year if the economy kept improving and would end them completely next year.
Against a basket of major currencies, the greenback was down 0.15 percent while against its Japanese counterpart it eased 0.4 percent to about 97.40 yen, edging away from Monday's two-week high of 98.72 yen.
But traders said the dollar's pullback would likely attract more buyers as expectations the Fed will move away from its ultra-loose monetary policy were still broadly intact.
"The dollar will not only be supported by the Fed tapering debate, but if we see equity markets supported by Fed reassurance, that will be dollar-positive," said Ian Stannard, head of European FX strategy at Morgan Stanley.
U.S. government bond prices also steadied, with the benchmark 10-year yield falling back from a near-two-year high in cautious trade ahead of economic data later in the day including the latest update on the housing market.
Euro zone bonds followed a similar path, sending 10-year German bonds yields which fall as prices rise, down 5 basis points at 1.77 percent, off Monday's 14-month highs of 1.85 percent.
In commodity markets, oil and copper prices retreated from their recent lows, though the gloomy demand outlook stemming from signs of a slowdown in China kept gains in check.
"People are more comfortable that the U.S. has hit a sustainable recovery, but China is looking worse," said Tony Nunan, oil risk manager with Mitsubishi Corp.
Brent crude oil was up 36 cents a barrel at $101.52, moving away from a three-week low of $99.67 hit on Monday, while copper gained 1.3 percent to $6,802.50 a tonne as it recovered from a three-year low.