CANADA FX DEBT-C$ edges higher as risk appetite stabilizes
* Canadian dollar at C$1.3386, or 74.70 U.S. cents * Bond prices lower across the yield curve TORONTO, Nov 3 (Reuters) - The Canadian dollar strengthened slightly against its U.S. counterpart on Thursday as risk appetite stabilized, but the loonie traded in a narrow range ahead of domestic employment and trade data on Friday. Modest gains for the Canadian dollar came as a British court ruled that parliament must approve a government decision to trigger Britain's exit from the European Union. That lifted European stocks and bond yields and eased some tension in markets rattled by U.S election nerves. Canada's employment and trade reports are due on Friday and will be watched closely by investors for clues on the interest rate outlook after the Bank of Canada acknowledged recently it had considered a rate cut at its policy meeting. The labor market is expected to have shed 10,000 jobs in October after a hefty gain the month before, while the September trade deficit is expected to narrow to C$1.7 billion. At 10:03 a.m. EDT (1403 GMT), the Canadian dollar was trading at C$1.3386 to the greenback, or 74.70 U.S. cents, slightly stronger than Wednesday's close of C$1.3395, or 74.65 U.S. cents. The currency's strongest level of the session was C$1.3362, while its weakest was C$1.3401. On Friday, it touched its weakest level in seven months at C$1.3434. U.S. crude prices were down 0.04 percent to $45.32 a barrel as doubts that a glut in global oil supplies could be reduced offset news of an attack on a Nigerian pipeline. Oil is one Canada's major exports. 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 0.553 percent and the benchmark 10-year declined 20 Canadian cents to yield 1.207 percent. (Reporting by Fergal Smith; Editing by Bernadette Baum)
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