* Canadian dollar at C$1.2942, or 77.27 U.S. cents
* Bond prices higher across the maturity curve
TORONTO, July 5 (Reuters) - The Canadian dollar weakened
against its U.S. counterpart and most other global currencies on
Tuesday, with uncertainty about the resiliency of economic
growth in the face of a slower China and divided Europe weighing
on the risk-sensitive loonie.
The retreat followed five sessions of gains that had lifted
the currency to a 10-day high on Monday, when U.S. markets were
closed. Canadian markets were closed on Friday.
Overnight data from China showed that while the country's
growing services sector saw activity rise to an 11-month high in
June, a composite measure of activity including manufacturing
fell to a four-month low.
At 9:14 a.m. EDT (1314 GMT), the Canadian dollar CAD=D4
was trading at C$1.2942 to the greenback, or 77.27 U.S. cents,
weaker than the Bank of Canada's official Monday close of
C$1.2856, or 77.78 U.S. cents.
Canadian government bond prices were higher across the
maturity curve as investors sought safety, which also supported
the greenback and Japanese yen at the expense of
growth-sensitive commmodity currencies such as the Canadian
dollar.
The two-year CA2YT=RR price was up 3 Canadian cents to
yield 0.502 percent and the benchmark 10-year CA10YT=RR rose
27 Canadian cents to yield 1.017 percent.
The 10-year yield slumped as low as 0.961 percent during the
session, its lowest since February.
The equivalent U.S. bond yield hit an all-time low, as soft
data from China added to worries about the impact of Britain's
vote to leave the European Union.
A flurry of data for June from China in coming weeks is
expected to show continued weakness in trade and investment,
sluggish industrial output and another drop in foreign reserves.
Prices for oil, a major Canadian export, fell on concerns
that demand could be dented by slower economic growth. O/R
"The domestic outlook has also deteriorated somewhat
following Monday's release of the (Bank of Canada's) Business
Outlook Survey, with sentiment described as 'subdued' as a
result of the lingering impact of the oil price shock," currency
strategists at Bank of Nova Scotia wrote in a note.
The Canadian currency's strongest level of the session was
C$1.2847, while its weakest level was C$1.2948.