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CANADA FX DEBT-Loonie weakens, GDP data in focus

Published 2018-03-28, 09:18 a/m
© Reuters.  CANADA FX DEBT-Loonie weakens, GDP data in focus
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* US GDP better than expected

* Canadian GDP on Thursday in focus

By Karen Brettell

NEW YORK, March 28 (Reuters) - The Canadian dollar was slightly weaker against the greenback on Wednesday as the U.S. currency was boosted by stronger economic growth data and before data on Thursday that will give new information on the strength of the Canadian economy.

U.S. gross domestic product expanded at a 2.9 percent annual rate in the final three months of 2017, instead of the previously reported 2.5 percent, the Commerce Department said in its third GDP estimate for the period on Wednesday. got some little bit better than expected U.S. data this morning," said Mark McCormick (NYSE:MKC), North American head of FX strategy at TD Securities in Toronto, adding, "I don't think there's a clear driver."

At 9:06 a.m. EDT (1306 GMT) the greenback was up 0.24 percent against the Canadian dollar CAD=D4 at C$1.2909.

Canadian GDP data due on Thursday is the next focus for further clues on Canadian economic growth.

"I think what people are focusing on is what's the tone of growth, where is the economy going and whether or not there's enough strength in the economy and enough momentum to continue to see the Bank of Canada's pricing around two rate hikes this year continue to hold up," McCormick said.

Benchmark 10-year Canadian government bond yields CA10YT=RR fell to 2.12 percent from 2.14 percent late on Tuesday. (Editing by Jonathan Oatis)

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