CANADA FX DEBT-C$ little changed as oil steadies

Tue Aug 4, 2015 10:28am EDT
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* Canadian dollar at C$1.3114, or 76.25 U.S. cents
    * Bond prices rise across the maturity curve

    TORONTO, Aug 4 (Reuters) - The Canadian dollar improved
slightly on Tuesday from its weakest close against the U.S.
dollar in over a decade helped by a steadying in the price of
oil, a major Canadian export.
    The loonie, as Canada's currency is colloquially known, has
lost around 9 percent of its value since mid-May on the back of
slumping commodity prices and cuts to a key domestic interest
rate just as the Federal Reserve prepares to raise U.S. rates.
    At 10:09 a.m. (1409 GMT), the Canadian dollar was
trading at C$1.3114 to the greenback, or 76.25 U.S. cents.
    That was weaker than the Bank of Canada's official Friday
close of C$1.3080, or 76.45 U.S. cents.
    The bank did not record a close on Monday, a public holiday
in much of Canada, while Thomson Reuters data showed a close of
C$1.3156, or 76.01 U.S. cents.
    The currency's strongest level of the session was C$1.3106,
while its weakest was C$1.3176.
    Canadian government bond prices were higher across the
maturity curve, with the two-year price up 3.5
Canadian cents to yield 0.39 percent and the benchmark 10-year
 rising 35.5 Canadian cents to yield 1.403 percent.
    The Canada-U.S. two-year bond spread was -29.5 basis points,
while the 10-year spread was -77.9 basis points.
    Brent crude oil prices recovered to just above $50 a
barrel on Tuesday after touching a six-month low the previous
session, although concern lingered over high global production
and the economic outlook in China. 

 (Reporting by Alastair Sharp; Editing by James Dalgleish)