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CANADA FX DEBT-C$ steady as oil rebounds; data in focus

Published 2015-09-02, 09:56 a/m
CANADA FX DEBT-C$ steady as oil rebounds; data in focus
USD/CAD
-
LCO
-
CL
-
CA2YT=RR
-
CA10YT=RR
-

* Canadian dollar at C$1.3239, or 75.53 U.S. cents
* Bond prices lower across the maturity curve

TORONTO, Sept 2 (Reuters) - The Canadian dollar was steady
against its U.S. counterpart on Wednesday and outperformed other
key currencies as crude oil prices rebounded from earlier
losses.
The loonie kept to a relatively narrow trading range ahead
of trade and labor data due on Thursday and Friday that could
influence whether the Bank of Canada will stand pat or
contemplate another rate cut.
Market participants hope the numbers will bring more clarity
on whether the impact of cheap crude has been contained and
whether a low Canadian dollar has helped stimulate other parts
of the economy.
* At 9:37 a.m. EDT (1337 GMT), the Canadian dollar CAD=D4
was trading at C$1.3239 to the greenback, or 75.53 U.S. cents,
not far from the Bank of Canada's official close of C$1.3222, or
75.63 U.S. cents.
* The loonie traded between C$1.32 and C$1.3278 so far in
the session.
* U.S. private employers added 190,000 new workers in
August, according to the ADP National Employment Report
published on Wednesday. While that was below the 201,000
positions economists had forecast, the labor market momentum
will probably remain strong enough for the Federal Reserve to
consider an interest rate hike this year. The report is
published ahead of the government's more comprehensive jobs data
due on Friday.
* U.S. nonfarm productivity increased at its strongest pace
in 1-1/2 years in the second quarter, keeping wage inflation
subdued.
* Canadian trade balance data for July is due on Thursday,
while employment numbers for August from both sides of the
border are expected on Friday.
* U.S. crude CLc1 prices were up 0.42 percent at $45.6,
while Brent crude LCOc1 added 1.13 percent to $50.12. O/R
* Canadian government bond prices were mostly lower across
the maturity curve, with the two-year CA2YT=RR down 2.5
Canadian cents to yield 0.431 percent and the benchmark 10-year
CA10YT=RR falling 39 Canadian cents to yield 1.469 percent.
* The Canada-U.S. two-year bond spread was -29.7 basis
points, while the 10-year spread was -72.2 basis points.

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