CANADA FX DEBT-C$ "pigeon-holed" against US$ in quiet trade
* C$ flat at C$0.9936 vs US$, or $1.0064 * Bond prices climb across curve By Claire Sibonney TORONTO, Aug 24 (Reuters) - The Canadian dollar was flat against its U.S. counterpart on Friday, pausing after a selloff in the last few sessions in quiet trade as investors took a wait-and-see approach until they learn how much action central banks will take to boost the lagging global economy. U.S. Federal Reserve Chairman Ben Bernanke and other central bank leaders meet in Jackson Hole, Wyoming, next week for an annual get-together that often hints at what monetary policy is to come. Comments from German leader Angela Merkel on Friday that she wants Greece to stay in the euro zone, and that Greece is doing all it can to solve its debt problems, did little to impact the currency. "Dollar/Canada remains kind of pigeon-holed here," said Matt Perrier, a director of foreign exchange sales at BMO Capital Markets. "(It) seems to get sidelined between broader (U.S.) dollar moves and cross-related moves." While the Canadian dollar was lost for direction against the greenback, it was getting a lift against the euro after losing ground over the last 72 hours. At 8:11 a.m. (1211 GMT), the Canadian dollar stood at C$0.9936 versus the U.S. dollar, or $1.0064, perfectly unchanged from Thursday's North American session close. Perrier noted that C$0.9950-60 was an important level to watch for Canadian dollar support, while breaking through resistance in the C$0.9880 could put the year's highs back in focus. Canadian bond prices advanced across the curve, with the two-year bond up 2 Canadian cents to yield 1.118 percent and the benchmark 10-year bond up 16 Canadian cents to yield 1.807 percent.
© Thomson Reuters 2017 All rights reserved.