CANADA FX DEBT-Canadian dollar edges lower as oil retreats
* Falls to C$0.9897 per U.S. dollar, or $1.0104
* U.S. crude oil futures down
* Bond prices mixed in choppy trade (Recasts, updates to afternoon, adds details, quotes)
By Claire Sibonney
TORONTO, Feb 7 (Reuters) - Canada's dollar pulled back against the U.S. currency on Monday, reversing earlier gains, tracking oil prices lower as Mideast supply remained stable despite continued unrest in Egypt.
U.S. crude futures retreated for a third session on Monday, dropping to their lowest level in more than a week, as investors weighed the lack of disruption in supplies from the Middle East against speculation that oil prices could spike if the Suez Canal were closed. [O/R]
"It really looks like this short-term volatility in the North American afternoon is pretty connected to (oil prices)," said Sacha Tihanyi, a currency strategist at Scotia Capital.
He noted the currency's move was still fairly restrained, with little in the way of economic data in Canada until monthly trade figures are released on Friday.
At 3:19 p.m. (2019 GMT), the Canadian dollar CAD=D4 was at C$0.9897 to the U.S. dollar, or $1.0104, down slightly from Friday's North American close at C$0.9884 to the U.S. dollar, or $1.0117.
Scotia Capital put the Canadian dollar's trading range on Monday between C$0.9850 and C$0.9950 to the greenback.
Earlier, the currency had advanced along with global stock markets and commodity prices. It benefited as well from some second-tier domestic data that showed building permits rebounded in December. [ID:nN07203696]
Canadian government bond prices also turned choppy in afternoon trade, reversing some earlier losses.
The two-year bond CA2YT=RR was flat to yield 1.848 percent, while the 10-year bond CA10YT=RR rose 14 Canadian cents to yield 3.443 percent. (Reporting by Claire Sibonney; editing by Rob Wilson)
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