CANADA FX DEBT-C$ gains, bonds fall, on Greek rescue speculation
* C$ rises to 93.76 U.S. cents
* Bonds fall on Greece bailout speculation
TORONTO, Feb 9 (Reuters) - Canada's currency firmed against the U.S. dollar on Tuesday as risk sentiment increased on speculation that initiatives are underway to help fix Greece's debt problems.
European Central Bank President Jean-Claude Trichet is cutting short a trip to Australia to attend a special European Union summit, prompting a rise in global stock markets. [ID:nSGE61801C] [MKTS/GLOB]
Additionally, Canada's commodity-linked dollar found support from firmer oil prices, which rose toward $73 a barrel. [O/R]
At 8:20 a.m. (1320 GMT), the Canadian dollar was at C$1.0666 to the U.S. dollar, or 93.76 U.S. cents, up from C$1.0745 to the U.S. dollar, or 93.07 U.S. cents, at Monday's close.
"Equities look a little firmer than where we left things yesterday, so are commodities. A little bit of risk is being put back on, and the Canadian dollar is benefiting as a result," said Firas Askari, head of foreign exchange trading at BMO Capital Markets.
"The risk is back on with euro bouncing because of Trichet coming back for the quasi-hastily called EU summit with hopes of Greece being bailed out."
Canadian bond prices were lower across the curve on rising risk sentiment.
The two-year bond CA2YT=RR fell 3 Canadian cents to C$100.48 to yield 1.264 percent, while the 10-year bond CA10YT=RR lost 14 Canadian cents to C$103.05 to yield 3.365 percent. (Reporting by Ka Yan Ng; Editing by Padraic Cassidy)
© Thomson Reuters 2017 All rights reserved.