(Adds strategist comment, details, closing figures)
* Canadian dollar at C$1.3085, or 76.42 U.S. cents
* Bond prices higher across the maturity curve
By Solarina Ho
TORONTO, Aug 17 (Reuters) - The Canadian dollar was little
changed against the greenback despite weaker crude prices on
Monday as investors paused following last week's market
volatility ahead of some key domestic data later in the week.
U.S. light crude oil settled below $42 a barrel, pressured
in part by a stronger greenback .DXY and news that the economy
of Japan, the world's No. 3 oil consumer, shrank in the second
quarter. China, another top oil consumer, also remained a drag.
Canada is a major oil producer.
"Given where we stand, I would've thought actually there
would be a bit more pressure on the Canadian dollar," said Mark
Chandler, head of Canadian fixed income and currency strategy at
RBC Capital Markets, noting the lack of economic data in the
United States and Canada to drive currency direction.
"People may be waiting in the U.S. for the (Federal Reserve)
minutes and in Canada, we do have a bunch of data toward the end
of the week, which could be preventing Canada from moving too
much."
Chandler also said he expects the loonie to come under
renewed pressure if the upcoming inflation and retail sales data
due on Friday disappoints and if crude prices remain near
6-1/2-year lows.
The Canadian dollar CAD=D4 , which was stronger than most
other key commodity counterparts, finished at C$1.3085 to the
greenback, or 76.42 U.S. cents, little changed from the Bank of
Canada's official close on Friday of C$1.3092, or 76.38 U.S.
cents.
Foreign investment in Canadian securities picked up in June
as portfolio adjustments saw investors push into the money
market, data from Statistics Canada showed. ID:nL1N10S0BS
Canadian government bond prices were higher across the
maturity curve, with the two-year bond CA2YT=RR price up half
a Canadian cent to yield 0.408 percent and the benchmark 10-year
CA10YT=RR rising 19 Canadian cents to yield 1.372 percent.
The Canada-U.S. two-year bond spread narrowed to -30.2 basis
points, while the 10-year spread narrowed to -79.8 basis points.