CANADA FX DEBT-C$ brushes off jobs loss, ends week up 0.9 pct

* C$ at C$1.0351 vs US$, or 96.61 U.S. cents
    * Fall in domestic jobs data weakens currency

    By Alastair Sharp
    TORONTO, Aug 9 (Reuters) - The Canadian dollar finished
stronger against the U.S. dollar on Friday, shrugging off an
unexpected fall in domestic employment data for July to end the
week up 0.9 percent on the greenback.
    Record public-sector job losses and scarce employment
opportunities for youth pushed the Canadian economy to shed a
net 39,400 jobs in July, compared with the 10,000 gain expected
in a Reuters poll. 
    The loonie, as Canada's currency is colloquially known,
weakened swiftly on the news, pushing to a session low of
C$1.0352, before reversing course.
    "Buyers were ultra-aggressive knocking dollar-Canada down an
hour after the data," said Adam Button, currency analyst at
ForexLive in Montreal. "That sort of move on a data point makes
people change their perspective on a currency."
    The loonie has struggled to make gains against the greenback
in recent months as investors await a pullback in stimulus by
the U.S. Federal Reserve.
    The Canadian dollar ended the day trading at
C$1.0294 to the greenback, or 97.14 U.S. cents, compared with
C$1.0324, or 96.86 U.S. cents, at Thursday's North American
    "It's a quiet summer Friday, so it's not going to be the
final word on the Canadian currency, but if we get to C$1.0244,
the July low, that will be the final word," Button said.
    The currency in recent weeks has moved most forcefully on
external developments, and the typically volatile employment
data will likely be subsumed by U.S. economic and monetary news.
    "There's so many other big things that are happening with
respect to the Canadian dollar, whether it is the trajectory of
commodity currencies generally ... or the questions surrounding
Fed policy, which we think are ultimately likely to be a bigger
factor than these fundamentals," said Dov Zigler, financial
markets economist at Scotiabank.
    Prices for Canadian government debt were higher across the
curve. The two-year bond gained 1.5 Canadian cents to
yield 1.134 percent, and the benchmark 10-year bond 
rose 14 Canadian cents to yield 2.481 percent.