CANADA FX DEBT-C$ flat ahead of Fed interest rate decision
* Canadian dollar at C$1.3255, or 75.44 U.S. cents * Bond prices mostly higher across the maturity curve TORONTO, Sept 14 (Reuters) - The Canadian dollar was little changed against the greenback on Monday, trading within a narrow range as investors positioned themselves ahead of the U.S. Federal Reserve's interest rate decision later this week. The Fed had been indicating it planned to hike rates at some point this year, but recent worries about global growth and lackluster Chinese economic data have increasingly raised the possibility that it may delay a rate hike until 2016. A Reuters poll last week showed a small majority of forecasters still expect the U.S. central bank to announce a rate hike at the end of its two-day policy meeting on Thursday, though markets-based models suggest the monetary policy tightening will be delayed. * At 9:56 a.m. EDT (1356 GMT), the Canadian dollar was trading at C$1.3255 to the greenback, or 75.44 U.S. cents, little changed from the Bank of Canada's official close of C$1.3254, or 75.45 U.S. cents. * The currency has traded narrowly between C$1.3225 and C$1.3268 so far during the session. * On the data front, Canadian home prices rose 1 percent in August from a month ago and were up 5.4 percent from a year earlier, according to the Teranet-National Bank Composite House Price Index. * The Canadian dollar, which was outperforming nearly all of its key currency counterparts on Monday, is expected to trade between C$1.3190 and C$1.3290 against the U.S. dollar during the session, according to RBC Capital Markets. * Canadian government bond prices were generally higher across the maturity curve, with the two-year price up 1 Canadian cent to yield 0.454 percent and the benchmark 10-year rising 21 Canadian cents to yield 1.451 percent. * The Canada-U.S. two-year bond spread was -25.6 basis points, while the 10-year spread was -71.6 basis points. (Reporting by Solarina Ho; Editing by Paul Simao)
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