* C$ at C$1.0195 vs US$, or 98.09 U.S. cents * Yen at 4 1/2 year lows vs C$ * C$ at weakest level vs NZD since mid-2005 * C$ seen trading between C$1.0160 and C$1.0240 on Monday By Solarina Ho TORONTO, April 8 (Reuters) - The Canadian dollar was weaker against the greenback on Monday, but was still stronger than levels hit after Friday's grim employment data, as the yen slid to four-and-a-half-year lows against Canada's dollar following the Bank of Japan's aggressive stimulus policy. The loonie, as the currency is colloquially known, has strengthened as much as 6 percent against the yen since Thursday, when the Bank of Japan unleashed the world's most intense burst of monetary stimulus, promising to inject about $1.4 trillion into the economy in less than two years, a radical gamble that sent the Japanese currency tumbling. The yen plunged to near four-year lows against the dollar and three-year lows against the euro on Monday. "When you look at the movement of the Canadian dollar, Friday obviously, all the short-term guys bought dollars after the weak Canadian data. They were all squeezed out late in the day ... the flight of the yen capital is finding its way to Canada as well," said Darcy Browne, Managing Director, Capital Markets Trading at CIBC. "There's a slight dislocation in the currency markets created by the yen crosses right now. Look for that to correct and we'll probably see a higher dollar overall versus Canada in the near term." At 9:34 a.m. (1434 GMT), the Canadian dollar was trading at C$1.0195 versus the U.S. dollar, or 98.09 U.S. cents, higher than Friday's North American close at $1.0164, or 98.39 U.S. cents. Except for the yen, the Canadian dollar was weaker against all other major currencies. At one point, it touched its weakest level against the New Zealand dollar since mid-2005. On Friday, disappointing employment data in Canada and the United States sent markets tumbling on concerns the economic recovery may be flagging. Canada's economy shed 54,500 jobs in March, more than wiping out the previous month's big gain and pushing up the jobless rate to 7.2 percent from 7.0 percent. Market analysts had forecast an increase of 8,500 jobs. The news had sent the currency falling more than a cent from Thursday's close to as low as C$1.0236, or 97.69 U.S. cents on Friday. Canadian housing data this Tuesday and Thursday will be the next potential domestic currency drivers. "If the job landscape doesn't look particularly good and we see some weakness in the housing sector, than I think the market will be more apt to sell Canadian dollar even further," said Browne, who expects the currency to trade between C$1.0160 and C$1.0240 on Monday. The price of Canadian government debt was mixed, with the two-year bond down 1.5 Canadian cents to yield 0.987 percent while the benchmark 10-year bond rose 6 Canadian cents to yield 1.745 percent.