CANADA FX DEBT-C$ steady: oil price rise offset by strong U.S. growth data

Fri Sep 25, 2015 10:18am EDT
 
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* Canadian dollar at C$1.3315 or 75.10 U.S. cents
    * Bond prices lower across the maturity curve

    TORONTO, Sept 25 (Reuters) - The Canadian dollar held steady
on Friday, supported by rising oil prices but checked by strong
U.S. second-quarter growth data which sparked the greenback's
rally against a basket of currencies.
    The loonie, which had briefly touched its weakest level in
more than 11 years on Thursday, was helped by a 3 percent rise
in the price of crude, a major Canadian export.
    South of the border, the U.S. economy expanded more than
previously estimated, at a 3.9 percent annual pace between April
and June, due to stronger consumer spending and construction.
 
    The upbeat data followed a speech late on Thursday by
Federal Reserve Chair, Janet Yellen, who said the U.S. central
bank was on track to raise interest rates this year for the
first time in nearly a decade. 
    Market participants have been hoping for more clarity on
when the Fed may resume raising interest rates, particularly as
worries over global growth remain volatile and dominate
headlines.
        
    * At 9:59 a.m. EDT (1359 GMT), the Canadian dollar 
was trading at C$1.3315 to the greenback, or 75.10 U.S. cents,
slightly softer than the Bank of Canada's official close of
1.3318, or 75.09 U.S. cents.
    * The currency, which was stronger than many of its
counterparts, traded between C$1.3301 and C$1.3355 so far on
Friday.
    * U.S. crude prices were up 2.96 percent to $46.24,
while Brent crude added 1.72 percent to $49. 
    * Canadian government bond prices were lower across the
maturity curve, with the two-year price down 5.5
Canadian cents to yield 0.537 percent and the benchmark 10-year
 falling 54 Canadian cents to yield 1.527 percent.
    * The Canada-U.S. two-year bond spread was -17.7 basis
points, while the 10-year spread was -64.8 basis points.
    

 (Reporting by Solarina Ho Editing by W Simon)