CANADA FX DEBT-C$ hits 3-week low as appetite for risk fades
* C$ drops as a low as C$1.0764 against U.S. dollar
* Slide in oil prices helps fuel drop in C$
* Domestic bond prices higher across curve
By Frank Pingue
TORONTO, Oct 28 (Reuters) - The Canadian dollar fell to its lowest level in over three weeks on Wednesday along with a drop in other commodity-linked currencies given a slide in the price of oil and concern about corporate earnings.
The price of oil, a key Canadian export whose price often influences Canada's currency, fell below $79 a barrel given a weaker equity backdrop and a stronger U.S. dollar. [O/R]
That shook commodity-related currencies like Canada's as well as the Australian and New Zealand dollars.
"It's just more of a risk-off kind of appetite in the market," said David Bradley, director of foreign exchange trading at Scotia Capital.
"There's concern that there might be more weaker earnings reports coming out, that stocks are going to turn negative and so all of the risk-off trades are hitting the table at once."
At 7:35 a.m. (1135 GMT), the Canadian unit was at C$1.0764 to the U.S. dollar, or 92.90 U.S. cents, which marked its lowest level since Oct. 5. It was also down from C$1.0661 to the U.S. dollar, or 93.80 U.S. cents, at Tuesday's close.
Domestic bond prices were sitting higher across the curve as losses in European equities helped to boost demand for lower risk government debt.
(Editing by Chizu Nomiyama)
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