* Canadian dollar rises 0.1% against the greenback
* Canada's economy shrinks 0.1% in February
* Price of U.S. oil increases 1.4%
* Canada's 10-year yield touches a one-week high at 1.745%
TORONTO, April 30 (Reuters) - The Canadian dollar strengthened against its U.S. counterpart on Tuesday, but was trading below an earlier six-day high as data showing a surprise contraction in the domestic economy offset higher oil prices and broad weakening of the greenback.
The Canadian economy shrank by 0.1% in February, pulled down in part by weakness in the mining sector and bad weather that hurt rail transport, Statistics Canada data indicated. Analysts in a Reuters poll had expected no change from January, when the economy grew by 0.3%. price of oil, one of Canada's major exports, rose as Venezuela's opposition leader called on the military to back him to end Nicolas Maduro's rule and after Saudi Arabia said a deal between producers to curb output could be extended beyond June to the end of 2019. crude oil futures CLc1 were up 1.4% at $64.41 a barrel.
The U.S. dollar .DXY fell against a basket of major currencies as data showing stronger-than-expected first quarter growth numbers for the euro zone boosted the euro. 9:17 a.m. (1317 GMT), the Canadian dollar CAD=D4 was trading 0.1% higher at 1.3446 to the greenback, or 74.37 U.S. cents. The currency touched its strongest intraday since last Wednesday at 1.3426.
Bank of Canada Governor Stephen Poloz and Senior Deputy Governor Carolyn Wilkins will testify to the House of Commons finance committee at 11:00 a.m. (1500 GMT).
Canadian government bond prices were lower across much of the yield curve, with the two-year CA2YT=RR down 1.5 Canadian cents to yield 1.571% and the 10-year CA10YT=RR falling 12 Canadian cents to yield 1.735%.
The 10-year yield touched its highest level intraday since April 23 at 1.745%.