CANADA FX DEBT-C$ retreats to April lows as Greece hits crude prices
* Canadian dollar at C$1.2640 or 79.11 U.S. cents * Bond prices higher across the maturity curve TORONTO, July 6 (Reuters) - The Canadian dollar softened to its weakest level since mid-April against its U.S. counterpart on Monday, as a stronger greenback helped pushed oil prices down more than 3 percent following the Greek referendum, which saw more than 60 percent of voters say 'No' to conditions for a rescue package. The U.S. dollar firmed against a basket of key currencies, but overall currency market moves were subdued as market participants held off making snap judgments on what's next in the euro zone. The price of crude, a key Canadian export, was also hit by emergency measures out of China over the weekend meant to prevent a stock market crash that could threaten the world's second-largest economy. China stocks have plunged some 30 percent in the last three weeks in what was originally deemed a market "correction." * At 8:56 a.m. ET (1256 GMT), the Canadian dollar was trading at C$1.2640 to the greenback, or 79.11 U.S. cents, a sharp retreat from the Bank of Canada's official close of C$1.2560, or 79.62 U.S. cents, on Friday. * The currency's strongest level of the session was C$1.2551, while its weakest level was C$1.2646. * The Bank of Canada's second-quarter Business Outlook Survey is due at 10:30 a.m. This data set will be scrutinized by market participants and will help guide expectations on the central bank's monetary policy intentions. * Canadian Ivey PMI data for June is due at 10:00 a.m. EDT . * U.S. crude prices were down 4.23 percent to $54.52, while Brent crude lost 2.22 percent to $58.98. A strong U.S. dollar tends to pressure commodities as it makes them more expensive for holders of other currencies. * The Canadian dollar, which was lower against most of its key currency counterparts, is expected to trade between C$1.2590 and C$1.2660 against the U.S. dollar on Monday, according to National Bank Financial. * Canadian government bond prices were higher across the maturity curve, with the two-year price up 6 Canadian cents to yield 0.452 percent and the benchmark 10-year rising 46 Canadian cents to yield 1.65 percent. * The Canada-U.S. two-year bond spread was -14.5 basis points, while the 10-year spread was -64.9 basis points. (Reporting by Solarina Ho; Editing by Meredith Mazzilli)
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