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* C$ up at 91.02 U.S. cents
* Bonds mixed; U.S. Treasuries higher
By Jennifer Kwan
TORONTO, June 9 (Reuters) - The Canadian dollar rose against the greenback on Tuesday morning, underpinned by rising oil prices and firmness in global equities.
The currency extended its rise from the previous session, climbing as high as C$1.0984 to the U.S. dollar, or 91.04 before retreating to C$1.0987 to the U.S. dollar, or 91.02 U.S. cents at 9:16 a.m. (1316 GMT).
On Monday, the currency finished up at C$1.1168 to the U.S. dollar, or 89.54 U.S. cents.
The Canadian dollar was helped by a number of factors including a weaker U.S. dollar, firmer commodity prices and rising equity markets, said David Bradley, director of foreign exchange trading at Scotia Capital.
"The catalyst is pretty broad-based," said Bradley.
Oil CLc1, a key Canadian export, snapped a two-day slide on Tuesday, climbing above $69 a barrel as the U.S. dollar weakened [ID:nSP387179], while gold and base metals were also stronger. [ID:nL9519355]
Also supporting the Canadian currency was firmness in world stocks, which were led by equities in Europe on reassuring housing data from Britain. [MKTS/GLOB]
U.S. stock indexes also opened higher as bank shares gained ahead of a report about the imminent repayment of government bailout funds. [ID:nN09363381]
The strength extends the Canadian dollar's rise against the greenback that was boosted by domestic housing starts data, in a sign of optimism about economic recovery.
"I think the market might have gotten a little carried away after the U.S. non-farm (payroll) data on Friday. The dollar rallied quite dramatically after that as the futures market was pricing in U.S. rate hikes by the end of the year, which I think is quite premature," said Bradley.
"The belief that that is going to happened has dissipated from the market."
Canadian bond prices were mixed, with the short end flat to slightly higher, following along with the U.S. Treasuries market, where prices rallied after a recent selloff on speculation the U.S. Federal Reserve may raise interest rates later this year. [ID:nL9595321]
The benchmark two-year government bond ticked higher 5 Canadian cents to C$99.76 to yield 1.374 percent, while the 10-year bond edged 2 Canadian cents lower to C$101.85 to yield 3.528 percent.
The 30-year bond fell 15 Canadian cents to C$116.40 to yield 4.018 percent. The comparable U.S. Treasury issue yielded 4.6037 percent. (Reporting by Jennifer Kwan; Editing by Padraic Cassidy)