By Rishav Chatterjee

April 24 (Reuters) - Emerging Asian currencies traded in a tight range on Thursday, while a relief rally in equities began to lose steam as investors grew more cautious on conflicting signals from the U.S. administration over its stance on China tariffs.

The dollar paused its rally after a sharp rebound sparked by U.S. President Donald Trump's retreat from threats to dismiss Federal Reserve Chair Jerome Powell and his administration's conciliatory tone on China tariffs.

The unpredictability of U.S. trade policy has created a new reality for investors, where abrupt policy shifts have made short-term market forecasts increasingly difficult, dampening appetite for emerging market assets.

There would be some element of caution prevailing among traders, with the dollar stabilising and investors seeking currency alternatives within the G10 space rather than in emerging Asia, said Shaun Lim, FX strategist at Maybank.

In emerging Asia, the Philippine peso PHP= and Singapore dollar SGD= each inched 0.1% higher, while the Taiwan dollar TWD=TP and South Korean won KRW=KFTC eased 0.1% and 0.2%, respectively.

In Malaysia, the central bank governor said the nation would need to revise its annual growth forecast downward due to tariff and trade uncertainties. The country faces a 24% tariff in July on its exports to the U.S. unless a deal is struck between the two countries.

The ringgit MYR= edged up around 0.1%, while shares in Kuala Lumpur .KLSE traded 0.3% higher.

The Indonesian rupiah IDR= drifted lower a day after the central bank delivered an expected hold on interest rates to maintain the currency's exchange rate stability. Stocks in Jakarta .JKSE rose 1% to hit their highest point since mid-March.

Beyond the looming threat of a 32% U.S. tariff, Southeast Asia's largest economy is also grappling with sluggish consumer demand and disappointing state revenue collection, which have together compelled the government to rein in spending.

Fakhrul Fulvian, an analyst with Trimegah Securities, said Bank Indonesia would continue assessing volatility in the rupiah before making any decision on a rate cut.

"We continue to eye urgency to lift up GDP growth by providing liquidity to the real economic sector."

Among other share markets, benchmark indexes in the Philippines .PSI and Taiwan .TWII fell 0.1% and 0.5%, respectively, while equities in Singapore .STI were on track for an eighth consecutive session of gains.

Once overlooked for their modest growth prospects, the city-state's defensive, high-yielding stocks are now attracting renewed interest from foreign investors in search of stability amid heightened market volatility.

HIGHLIGHTS:

** Indonesia 2025 growth seen around 5% despite trade tensions, finance minister says

** Vietnam starts trade talks with U.S. as immense 46% tariffs loom, state media reports

** Singapore's Keppel first-quarter profit jumps on infrastructure boost

(Reporting by Rishav Chatterjee in Bengaluru; Editing by Sherry Jacob-Phillips)

((Rishav.Chatterjee@thomsonreuters.com;))