* Canadian dollar at C$1.3086, or 76.42 U.S. cents
* Price of U.S. oil rises 1.6 percent
* Bond prices slightly lower across the yield curve
TORONTO, Aug 14 (Reuters) - The Canadian dollar strengthened against its U.S. counterpart on Tuesday as oil prices rose and the threat from the collapse of the Turkish lira ebbed.
World equities markets regained their footing as Turkey's currency rebounded about 5 percent against the greenback and reassuring German economic data offset signs of slowing growth in China. have worried that a crisis in Turkey could spread to other emerging market countries. Canada exports many commodities and runs a current account deficit so its economy could be hurt if the flow of trade or capital slows.
The price of oil, one of Canada's major exports, jumped after Saudi Arabia said it cut production, adding to concerns over global supply as U.S. sanctions against Iran curb its exports. crude CLc1 prices were up 1.6 percent at $68.27 a barrel.
At 9:07 a.m. EDT (1307 GMT), the Canadian dollar CAD=D4 traded 0.4 percent higher at C$1.3086 to the greenback, or 76.42 U.S. cents. The currency, which touched a near 3-week low of C$1.3179 on Monday, traded in a range of C$1.3072 to C$1.3135.
Canadian home prices rose in July from June on broad-based gains in most parts of Canada, but the price increases were small compared with historical averages for the month, the Teranet-National Bank Composite House Price Index data showed on Tuesday. manufacturing sales data for June is due on Thursday and the July inflation report is set for Friday.
Canadian government bond prices were slightly lower across the yield curve, with the two-year CA2YT=RR down 0.5 Canadian cent to yield 2.114 percent and the 10-year CA10YT=RR falling 3 Canadian cents to yield 2.306 percent.