April 27, 2020 / 1:37 PM / in a month

CANADA FX DEBT-Canadian dollar gains as risk appetite climbs on easing lockdowns

    * Canadian dollar rises 0.3% against the greenback
    * Loonie trades in a range of 1.4040 to 1.4117
    * Price of U.S. oil decreases about 26%
    * Canadian government bond prices mixed across the curve

    TORONTO, April 27 (Reuters) - The Canadian dollar
strengthened against its U.S. counterpart on Monday as
additional stimulus measures to ease the economic pain of the
coronavirus pandemic and some countries' plans to loosen
lockdown restrictions bolstered investor sentiment globally.    
    Stock markets          rallied after the Bank of Japan
pledged to buy an unlimited amount of bonds and Italy's prime
minister announced that factories and building sites could
reopen from May 4 and family visits also would be permitted.
            
    Canada runs a current account deficit and is a major
exporter of commodities, including oil, so the loonie tends to
be sensitive from the global flow of trade and capital.
    At 9:21 a.m. (1321 GMT), the Canadian dollar          was
trading 0.3% higher at 1.4055 to the greenback, or 71.15 U.S.
cents. The currency, which last week fell 0.8%, traded in a
range of 1.4040 to 1.4117.     
    Canada's top medical official said on Sunday she was
encouraged the coronavirus death toll was slowing while Prime
Minister Justin Trudeau said isolation measures to fight the
outbreak should remain for the time being.             
    U.S. crude oil futures        were down about 26% at $12.50
a barrel on concerns about scarce storage capacity and global
economic doldrums from the coronavirus pandemic.                
    Speculators have slightly increased their bearish bets on
the Canadian dollar, data from the U.S. Commodity Futures
Trading Commission showed on Friday. As of April 20, net short
positions had increased to 23,891 contracts from 23,760 in the
prior week.
    Canadian government bond yields were mixed across the curve,
with the 10-year             nearly unchanged at 0.584%.

 (Reporting by Fergal Smith
Editing by Paul Simao)
  
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