CANADA FX DEBT-C$ little changed, hovering around key level
* Canadian dollar at C$1.1007 or 90.85 U.S. cents * Bond prices mostly lower across the maturity curve By Leah Schnurr TORONTO, April 22 (Reuters) - The Canadian dollar was little changed on Tuesday as traders found few compelling reasons to drive the loonie in either direction, even as data showed domestic wholesale trade rose more than expected in February. Strength in recent Canadian economic data had helped the loonie recover from the 4-1/2-year low it hit in March, but that rally has run out of steam in the last couple weeks, leaving the currency moving sideways as it hovers around the technically important C$1.10 level. Tuesday's data was similarly unable to give the Canadian dollar a significant lift. Canadian wholesale trade rose 1.1 percent in February, surpassing expectations for 0.7 percent, as sales rose in all subsectors. "We have had this string of better-than-expected data, but on the other side, we also have a central bank who is quite neutral in its tone, and we also have the U.S. outperforming Canada," said Camilla Sutton, chief currency strategist at Scotiabank in Toronto. "The end result is that I think Canada is stuck on either side of C$1.10, waiting for a catalyst that would have the central bank shift its tone, have the growth outlook improve even more, or have a shift in global growth." The Bank of Canada said last week that an interest rate cut was still a possibility, even as the central bank forecast inflation will pick up speed this year. The Canadian dollar was trading at C$1.1007 to the greenback, or 90.85 U.S. cents, slightly stronger than Monday's close of C$1.1015, or 90.79 U.S. cents. Canada's Finance Minister, Joe Oliver, will be speaking in Halifax later on Tuesday and could garner some attention from traders. Oliver replaced former Finance Minister Jim Flaherty last month. Canadian government bond prices were mostly lower across the maturity curve, though the two-year was unchanged to yield 1.073 percent. The benchmark 10-year was off 10 Canadian cents to yield 2.462 percent. (Editing by W Simon)
© Thomson Reuters 2017 All rights reserved.