CANADA FX DEBT-C$ weakens against firmer greenback as oil falls
* Canadian dollar at C$1.3265, or 75.39 U.S. cents * Bond prices lower across the maturity curve TORONTO, Oct 12 (Reuters) - The Canadian dollar weakened against its U.S. counterpart on Wednesday as oil fell and the greenback added to recent gains ahead of minutes from the Federal Reserve's latest monetary policy meeting. Rising expectations that the U.S. Federal Reserve will raise interest rates as early as December helped push the U.S. dollar to a 7-month high against a basket of major currencies. Oil prices fell despite record Indian crude imports and talks between OPEC producers and other oil exporters on curbing output to end a glut in the global market. U.S. crude prices were down 1.06 percent at $50.25 a barrel. Oil is one of Canada's major exports. At 9:26 a.m. EDT (1326 GMT), the Canadian dollar was trading at C$1.3265 to the greenback, or 75.39 U.S. cents, weaker than Tuesday's close of C$1.3241, or 75.52 U.S. cents. The currency's strongest level of the session was C$1.3209, while its weakest was C$1.3283. On Friday, the loonie touched its weakest in more than six months at C$1.3315. Losses for the loonie came as shares fell worldwide towards three-week lows after a dour start to the U.S. earnings season. Germany's Constitutional Court on Wednesday began hearing a legal challenge to a planned EU-Canada free trade deal that could paralyze the accord. Canadian government bond prices were lower across the yield curve in sympathy with U.S. Treasuries. The two-year fell 1.5 Canadian cents to yield 0.612 percent and the benchmark 10-year declined 20 Canadian cents to yield 1.22 percent. On Tuesday, the 10-year yield touched its highest in nearly four weeks at 1.257 percent. Canadian Finance Minister Bill Morneau will share his perspectives on long-term growth for the country's middle class at the Public Policy Forum's Growth Summit at 12:45 p.m EDT (1645 GMT). (Reporting by Fergal Smith; Editing by Nick Zieminski)
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