CANADA FX DEBT-C$ slips against stronger greenback as oil prices fall

Published 2018-04-30, 09:29 a/m
© Reuters.  CANADA FX DEBT-C$ slips against stronger greenback as oil prices fall
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* Canadian dollar at C$1.2853, or 77.80 U.S. cents

* Price of oil falls 1.1 percent

* Bond prices higher across the yield curve

TORONTO, April 30 (Reuters) - The Canadian dollar weakened against its U.S. counterpart on Monday as oil prices fell and the greenback broadly rose.

The price of oil, one of Canada's major exports, dipped after a rising rig count in the United States pointed to higher production there. U.S. crude CLc1 prices were down 1.1 percent at $67.34 a barrel. U.S. dollar .DXY climbed against a basket of major currencies as weaker-than-expected German retail sales knocked euro zone sentiment. 9:10 a.m. EDT (1310 GMT), the Canadian dollar CAD=D4 was trading 0.2 percent lower at C$1.2853 to the greenback, or 77.80 U.S. cents. The currency traded in a range of C$1.2833 to C$1.2873.

The loonie hit a three-week low intraday on Friday at C$1.2900, pressured by recent comments from the Bank of Canada that were seen as dovish, and as the rise in U.S. Treasury yields boosted the greenback.

Canadian producer prices increased by 0.8 percent in March from February on higher prices of energy and petroleum products as well as paper and pulp, Statistics Canada said on Monday. gross domestic product data for February is due on Tuesday and March trade data is due on Thursday.

Canadian government bond prices were slightly higher across the yield curve, with the two-year CA2YT=RR up 1 Canadian cent to yield 1.894 percent and the 10-year CA10YT=RR rising 5 Canadian cents to yield 2.319 percent.

Canada's stock exchange, the world's sixth-largest, will reopen on Monday after its operator said at the weekend it had fixed the error that halted the market for several hours on Friday afternoon.

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