January 15, 2020 / 2:45 PM / in 3 months

CANADA FX DEBT-Loonie trades near flat as investors assess trade pact

    * Canadian dollar trades in a range of 1.3057 to 1.3078
    * Canadian home sales fall 0.9% in December
    * Price of U.S. oil decreases 0.3%
    * Canadian bond prices rise across a flatter yield curve

    TORONTO, Jan 15 (Reuters) - The Canadian dollar was little
changed against the greenback on Wednesday as domestic data
showed a drop in home sales and investors assessed the merit of
a trade deal between the United States and China, which is due
for signing later in the day.
    World stocks eased off record highs as euphoria over a
U.S.-China trade deal was tempered by U.S. Treasury Secretary
Steven Mnuchin saying tariffs on Chinese goods would remain in
place for now.             
    Canada is a major exporter of commodities, including oil, so
its economy could benefit from a more certain outlook for global
trade.
     Concern that the U.S.-China trade pact would not boost
demand weighed on oil prices, with U.S. crude oil futures       
dipping 0.3% to $58.06 a barrel.             
    Canadian home sales fell 0.9% in December from the previous
month, breaking a streak of monthly gains that began last March,
the Canadian Real Estate Association said.             
    At 9:24 a.m. (1424 GMT), the Canadian dollar          was
trading nearly unchanged at 1.3063 to the greenback, or 76.55
U.S. cents. The currency, which last Thursday hit a near
two-week low at 1.3104, traded in a range of 1.3057 to 1.3078.
    The steady profile for the loonie on Wednesday comes ahead
of a decision on interest rates and an updated economic outlook
next week from the Bank of Canada. Money markets expect the
central bank to leave its benchmark interest rate on hold at
1.75%.           
    Canadian government bond prices were higher across a flatter
yield curve in sympathy with U.S. Treasuries. The two-year
           rose 2.5 Canadian cents to yield 1.652% and the
10-year             was up 34 Canadian cents to yield 1.548%.

 (Reporting by Fergal Smith; editing by Jonathan Oatis)
  
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