CANADA FX DEBT-C$ softens as oil prices drop below $76
* C$ at C$1.0290, or 97.18 U.S. cents
* Bond prices flat across curve
By Jennifer Kwan
TORONTO, June 18 (Reuters) - The Canadian dollar slipped on Friday, nudged lower by soft oil prices that were hit by signs that economic growth in the world's top oil consumers may not be as robust as foreseen.
Oil dropped more than $1 to below $76 a barrel, dragged down in part by a warning from a Chinese central bank adviser that economic growth was expected to slow in the second half of this year, as well as weak U.S. economic data released the day before. [ID:nTST000214]
"We're seeing some downward pressure on oil prices so we're below yesterday's close and we're seeing that the U.S. dollar is generally mixed," said Camilla Sutton, currency strategist at Scotia Capital. [FRX/]
At 7:43 a.m. (1143 GMT), the Canadian dollar was at C$1.0290 to the U.S. dollar, or 97.18 U.S. cents, down from Thursday's finish at C$1.0270 to the U.S. dollar, or 97.37 U.S. cents.
Investors shrugged off a speech in St John's, Newfoundland, by Bank of Canada Governor Mark Carney, who cautioned investors again on Friday not to take another interest rate hike for granted, saying volatile global conditions mean no particular path for monetary policy is preordained. [ID:nN18116394]
The speech was nearly identical to one given on June 16. [ID:nN16178696]
The currency's flat to softer performance on Friday followed disappointing jobless claims and factory activity data, which was released the day before. [ID:nN17207354] [ID:nN17254724]
Canadian government bond prices were largely flat to lower, influenced by softer U.S. Treasuries on easing euro zone debt concerns. [US/]
The two-year government bond CA2YT=RR slipped 2 Canadian cents to yield 1.733 percent, while the 10-year bond CA10YT=RR ticked 5 Canadian cents higher to yield 3.298 percent. (Reporting by Jennifer Kwan, Editing by Chizu Nomiyama)
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