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* Canadian dollar falls 0.9 percent versus greenback
* Bond prices rally with U.S. market on soft U.S. data
By John McCrank
TORONTO, Nov 26 (Reuters) - The Canadian dollar fell nearly 1 percent against the U.S. dollar on Wednesday as softness in equity markets intensified fears of a global recession, causing investors to jettison the commodity-linked currency.
Canadian bond prices rallied along with the larger U.S. market after some weaker-than-expected U.S. data, which increased the allure of safe-haven government debt.
At 9:48 a.m. (1448 GMT), the Canadian dollar was at C$1.2360 to the U.S. dollar, or 80.91 U.S. cents, down from C$1.2250 to the U.S. dollar, or 81.63 U.S. cents, at Tuesday's close.
In the overseas session, the currency rose to C$1.2162 to the greenback, or 82.22 U.S. cents, before tumbling to C$1.2415 to the U.S. dollar, or 80.54 U.S. cents.
"The selloff in the Canadian dollar this morning... coincided with the selloff in the U.S. equity futures," said Matthew Strauss, senior currency strategist at RBC Capital Markets.
U.S. stock futures fell on gloomy outlooks from several companies, ramping up anxiety about the global economic slowdown.
The Canadian dollar was lower against most major currencies, as the economic climate pointed to lower demand for the commodities that Canada exports.
Strauss said C$1.2480 is a key resistance point for the Canadian dollar, and that if it weakens past that point, it will likely continue trending lower.
Bond prices rallied along with the larger U.S. market on some weaker than expected U.S. economic data, which sent investors looking for safe-haven government debt.
The data showed that orders for durable goods such as cars, machinery, and computers fell 6.2 percent in October, more than double what analysts were expecting.
"Those durable goods orders are absolutely atrocious and they signal again that the business sector is getting dragged into this thing as well," said Eric Lascelles, chief economics and rates strategist at TD Securities.
Other U.S. data showed higher jobless claims and weaker consumer spending.
There were no major Canadian data releases.
The Canadian overnight Libor rate LIBOR01 was 2.2500 percent, down from 2.2583 percent on Tuesday.
Tuesday's CORRA rate CORRA= was 2.2390 percent, down from 2.2472 percent on Monday. The Bank of Canada publishes the previous day's rate at around 9 a.m. daily.
The two-year bond rose 3 Canadian cents to C$101.96 to yield 1.758 percent. The 10-year bond climbed 20 Canadian cents at C$107.10 to yield 3.370 percent.
The yield spread between the two-year and 10-year bond was 173 basis points, up from 171 at the previous close.
The 30-year bond jumped 50 Canadian cents to C$117.90 to yield 3.948 percent. In the United States, the 30-year Treasury yielded 3.557 percent. (Editing by Peter Galloway)