* Sino-U.S. trade call passes without a hitch, Asia FX bid
* Powell speech seen as crucial in dollar's next move
* German IFO nervously eyed after soft PMI data
* Graphic: World FX rates in 2020 https://tmsnrt.rs/2RBWI5E
By Tom Westbrook
SINGAPORE, Aug 25 (Reuters) - The dollar slipped on Tuesday and Asia's trade-exposed currencies rose after the United States and China both hailed a phone call between their top trade officials as a success.
That reaffirmed investors' faith that even as diplomatic ties between the two countries fray, the trade relationship can endure. The news lifted the Australian dollar 0.2% and nudged the Chinese yuan firmer to 6.9007.
Sentiment, and support for riskier currencies over the dollar, was also boosted by a Financial Times report which said that U.S. authorities were considering fast-tracking approval for a COVID-19 vaccine being developed by AstraZeneca and Oxford University.
Moves were contained as markets were not expecting a breakdown of the trade deal and looking ahead to a speech from Federal Reserve Chairman Jerome Powell later in the week, which could shift the U.S. dollar in either direction.
The broad pressure on the dollar helped the euro back over $1.18 by mid-morning in Asia and the pound rose 0.3% to $1.3102. The kiwi, weighed by expectations of negative rates in the future, struggled for headway at $0.6528.
"It's reassuring that despite all the rhetoric the U.S. and China clearly still want to have an economic relationship," said National Australia Bank senior foreign exchange strategist Rodrigo Catril. "That adds to the feelgood vibes."
On the call, which had been originally scheduled for Aug. 15, U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin spoke with Chinese Vice Premier Liu He.
The United States said both sides "see progress" and China's commerce ministry called the talks "constructive."
The Aussie last sat at $0.7171 and the yuan at 6.9071, just below session highs and underneath last week's peaks in a sign that some caution remains. The safe-haven yen was steady at 105.95 per dollar.
POWELL WATCH
The Asia-session moves return some gentle pressure to the dollar which had held up during New York trade, defying a positive mood in the equity market - which often drives dollar selling in favour of riskier currencies.
Against a basket of currencies the dollar dipped 0.1% to 93.180 and it sits at a crossroads: Flat for the month after a roughly 10% slide from late March through to early August.