×

CANADA FX DEBT-C$ notches 2-week high before giving up its gains

* Canadian dollar at C$1.2724, or 78.59 U.S. cents

* Loonie touches its strongest in two weeks at C$1.2688

* Bond prices retreat across the yield curve

TORONTO, Nov 9 (Reuters) - The Canadian dollar was little changed on Thursday against its U.S. counterpart, steadying after posting a two-week high on a rise in oil prices and a broad decline for the greenback.

The U.S. dollar edged lower against a basket of major

currencies, pressured by talk of possible delays to U.S. President Donald Trump's tax reform plans as well as a risk-averse mood. Prices of oil, one of Canada's major exports, were supported could be vulnerable to a sell-off after several months of gains.

U.S. crude was up 0.16 percent at $56.90 a barrel. At 8:52 a.m. ET (1352 GMT), the Canadian dollar was

little changed at C$1.2724 to the greenback, or 78.59 U.S. cents. The currency's weakest level of the session was C$1.2740, while it touched its strongest since Oct. 25 at C$1.2688. The loonie had added to gains it made after comments on Tuesday by Bank of Canada Governor Poloz. In a speech and news conference, Poloz maintained a neutral tone on the next interest rate move, repeating the bank's message that it was monitoring wage growth and inflation, as well as how the economy was adjusting to rate hikes in July and September. New home prices in Canada rose 0.2 percent in September from August, mostly on the strength of the Kelowna and Vancouver markets, Statistics Canada said on Thursday. The year-on-year gain was steady at 3.8 percent. Canadian government bond prices were lower across the yield curve in sympathy with U.S. Treasuries. The two-year dipped 2.5 Canadian cents to yield 1.439 percent, and the

10-year declined 15 Canadian cents to yield 1.937

percent. On Wednesday, the 10-year yield touched a two-month intraday low of 1.879 percent.

(Reporting by Fergal Smith; Editing by Lisa Von Ahn)