CANADA FX DEBT-C$ steadies as oil rises, equities dip
* Canadian dollar at C$1.2897, or 77.54 U.S. cents * Bond prices lower across the maturity curve TORONTO, Sept 8 (Reuters) - The risk-sensitive Canadian dollar was little changed against its U.S. counterpart on Thursday as oil prices rose and equity markets dipped. The loonie's steady performance follows a retreat from a nearly three-week high on Wednesday after a more dovish than expected statement from the Bank of Canada. Bank of Canada Deputy Governor Timothy Lane will give a presentation on the topic "Committed to a better Canada: the Bank of Canada's role in challenging economic times." The deputy governor's appearance may be more closely monitored by investors after the central bank revealed a more dovish stance. The central bank will release his prepared remarks at 12:10 p.m. EDT. Losses for European and U.S. stocks came after the European Central Bank kept its already loose policy stance unchanged. Oil prices rose after U.S. industry data showed a large drawdown in crude stocks, reflecting the impact of an Atlantic storm. U.S. crude prices were up 2.07 percent to $46.44 a barrel. Oil is one of Canada's major exports. At 9:42 a.m. EDT (1342 GMT), the Canadian dollar was trading at C$1.2897 to the greenback, or 77.54 U.S. cents, slightly stronger than Wednesday's close of C$1.2900, or 77.52 U.S. cents. The currency's strongest level of the session was C$1.2852, while its weakest was C$1.2918. The value of Canadian building permits issued in July rose by 0.8 percent from June, led by authorizations to construct non-residential buildings, Statistics Canada said. The increase was less than the 3.0 percent month-on-month advance predicted by analysts in a Reuters poll. Canadian government bond prices were lower across the yield curve in sympathy with U.S. Treasuries and German Bunds. The two-year bond dipped 1.5 Canadian cents to yield 0.553 percent and the benchmark 10-year declined 28 Canadian cents to yield 1.034 percent. Canada's August employment report is due on Friday. Investors will be looking to see whether the labor market can recover some of the 31,200 jobs it unexpectedly lost the month before. (Reporting by Fergal Smith; Editing by Chizu Nomiyama)
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