* Canadian dollar rises 0.2% against the greenback
* Price of U.S. oil increases 2.4%
* Canadian bond prices trade mixed across a steeper yield curve
TORONTO, April 22 (Reuters) - The Canadian dollar strengthened against its U.S. counterpart on Monday as oil prices jumped to fresh multi-month highs, while investors awaited an interest rate decision this week from the Bank of Canada.
At 9:39 a.m. (1339 GMT), the Canadian dollar CAD=D4 was trading 0.2% higher at 1.3365 to the greenback, or 74.82 U.S. cents. The currency, which fell 0.5% last week, traded in a range of 1.3355 to 1.3389.
The price of oil, one of Canada's major exports, rose to its highest since October as the United States was set to announce a further clampdown on Iranian oil exports, tightening global supplies. U.S. crude oil futures CLc1 were up 2.4% at $65.55 a barrel. Bank of Canada is expected to hold its benchmark interest rate steady at 1.75% on Wednesday and for the rest of this year, with calls for the next hike in early 2020 resting on a knife's edge, a Reuters poll showed, the latest dulling of rate expectations for a major central bank. week, domestic data showing higher retail sales and a pick-up in underlying inflation was offset by a Bank of Canada survey showing softer business sentiment. The decline in sentiment was due partly to a more uncertain outlook in the Western Canadian energy sector.
Canada has extended the deadline for a decision on whether to push forward with the expansion of the Trans Mountain oil pipeline to June 18 from mid-May, the government said on Thursday. government bond prices were mixed across a steeper yield curve, with the two-year CA2YT=RR up 2 Canadian cents to yield 1.615% and the 10-year CA10YT=RR falling 8.5 Canadian cents to yield 1.775%.
Canada's wholesale trade report for February is due on Tuesday.