By Ankur Banerjee

SINGAPORE (Reuters) -Global stocks fell and the dollar sank further on Friday, while a manic bond selloff took hold in a brutal end to the week of tit-for-tat worldwide tariffs that have fed fears of a deep recession and shaken investor confidence in U.S. assets.

The anxiety has sparked a rush into safe havens, sending the Swiss franc soaring to a decade high against the dollar, and gold to a new peak after a brief but massive relief rally following U.S. President Donald Trump's move to temporarily lower tariffs on many countries.

The selloff in U.S. Treasuries picked up pace during Asian hours, with the 10-year note yield rising to 4.45%, gaining about 45 basis points in the week, the biggest increase since 2001, LSEG data showed.

Analysts and investors have pointed to this week's sharp selloff in Treasuries and weakness in the dollar as a sign of faltering confidence in the world's biggest economy.

"There's clearly an exodus from U.S. assets. A falling currency and bond market is never a good sign," said Kyle Rodda, senior financial markets analyst at Capital.com. "This goes beyond pricing in a growth slowdown and trade uncertainty."

In Asia, Japan's Nikkei tumbled 4.3% on the day, while stocks in South Korea fell nearly 1%. Taiwan's main index reversed earlier losses to trade nearly 2% higher.

U.S. futures for S&P 500 and Nasdaq also reversed course to be slightly higher after a sharp drop overnight. European futures pointed to a higher open as nervous investors brace for volatility. [.N]

"The short-term outlook for global risk assets remains uncertain given growth and inflation concerns, fluid sentiments and fast-changing developments on the trade and tariff fronts," said Vasu Menon, managing director of investment strategy at OCBC Bank in Singapore.

Investors are grappling with worries over the escalating Sino-U.S. trade war after Trump ratcheted up tariffs on Chinese imports, raising them effectively to 145%.

China has hit back, hiking its tariffs on the U.S. with each Trump increase, raising fears that Beijing may jack up duties above the current 84%.

Chinese stocks were relatively steady. The blue-chip CSI300 Index was 0.1% lower while Hong Kong's benchmark Hang Seng rose 0.56%.

James Athey, fixed income manager at Marlborough, said the outlook remains darker and more clouded in uncertainty than it did a month ago. "There are still so many unanswered and unanswerable questions."

DOLLAR LOSES ITS CROWN

The U.S. dollar has faced relentless selling in the past few weeks, with traders seeking shelter in the Japanese yen, the Swiss franc as well as the euro. [FRX/]