CANADA FX DEBT-C$ higher as oil, equities climb

Wed Sep 30, 2009 8:03am EDT
 
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 * Canadian dollar at 93.15 U.S. cents
 * Investors await domestic, U.S. economic data
 TORONTO, Sept 30 (Reuters) - The Canadian dollar rose
against the U.S. currency on Wednesday morning, boosted by
equity and commodity prices as investors bid up assets
perceived to be riskier amid optimism about economic recovery.
 Equity strength, a key gauge of investor risk sentiment in
recent months, set a rosy tone for the currency. European
shares look set to finish the quarter with their best
performance in nearly a decade [MKTS/GLOB], while U.S. stock
index futures signaled a strong open. [.N]
 The price of oil CLc1, a key Canadian export, rose toward
$68 a barrel as the greenback fell against major currencies
[O/R] [FRX/], while gold prices shot above $1,000 an ounce.
[GOL/]
 "Commodity currencies are outperforming," said
Jean-Philippe Blais, vice president foreign exchange products
at BMO Capital Markets.
 At 7:46 a.m. (1146 GMT), the Canadian dollar was at
C$1.0735 to the U.S. dollar, or 93.15 U.S. cents, up from
Tuesday's finish at C$1.0855 to the U.S. dollar, or 92.12 U.S.
cents.
 Investors will eye Canadian gross domestic product data for
July, as well as producer and raw materials prices data for
August.
 Investors will also focus on a string of data releases in
the U.S. including reports on private-sector employment, as
well as revised GDP data for the second quarter.
 "People are looking to see any number indicating that we're
well on our way into recovery phase," said Blais.
 Canadian bonds were lower across the curve, following the
U.S. Treasury market where prices fell on Wednesday, pressured
by climbing equities ahead of the data releases. [ID:nLU86002]
 (Reporting by Jennifer Kwan, Editing by Chizu Nomiyama)