CANADA FX DEBT-C$ little changed ahead of Fed
* Canadian dollar at C$1.0866 or 92.03 U.S. cents * Bond prices higher across the maturity curve TORONTO, June 18 (Reuters) - The Canadian dollar was little changed versus the U.S. currency on Wednesday as traders awaited the results of a two-day meeting of Federal Reserve policymakers, with expectations the U.S. central bank could take a more hawkish tone than expected. Data showing Canadian wholesale prices rose twice as fast as expected in April had no noticeable impact ahead of the release of Fed economic and interest rate projections and the next step in its bond-buying program. "If the overall sense is that they're a bit more hawkish on the outlook, that could see a bit of strengthening of the U.S. dollar and in return a weakening of the Canadian dollar against it," said Greg Moore, senior currency strategist at Royal Bank of Canada in Toronto. At 10:20 a.m. (1420 GMT), the Canadian dollar was at C$1.0866 to the U.S. dollar, or 92.03 U.S. cents, down a touch from Tuesday's close of C$1.0864 or 92.05 U.S. cents. The currency has traded in a narrow band over the past week but could accelerate its losses if it crosses resistance at C$1.0880, or 91.91 U.S. cents, said Moore. "If we do get through there, there's the potential of a larger move towards some of the (U.S. dollar) highs we saw a week and a half ago in the mid C$1.09 area," he said. Looking past the Fed, Canadian market watchers will be waiting for domestic inflation and retail sales data due on Friday for any signs of price pressures that could prompt the Bank of Canada to revise its own take on rates. Currently, market players don't expect a rate hike until well into 2015. Canadian government bond prices were higher across the maturity curve, with the two-year up 28 Canadian cents to yield 1.098 percent and the benchmark 10-year up 25 Canadian cents to yield 2.287 percent. (Reporting by Cameron French; Editing by James Dalgleish)
© Thomson Reuters 2017 All rights reserved.