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CANADA FX DEBT-C$ holds near 2-week low as growth prospects worry investors

* Canadian dollar trades near flat vs greenback

* Loonie touches weakest since March 11 at 1.3440

* Price of oil falls 0.2 percent

* Canada's yield curve inverts further

TORONTO, March 25 (Reuters) - The Canadian dollar was little changed against its U.S. counterpart on Monday, holding near its lowest in two weeks as investors worried about slower growth prospects for the domestic and global economies. World stocks hit a 12-day trough as fears for economic growth sent investors dashing for safe-haven assets, but the selloff lost some momentum after better-than-expected data from Germany. The price of oil, one of Canada's major exports, fell as growth concerns overshadowed support from tighter supply. U.S.

crude oil futures were down 0.2 percent at $58.91 a

barrel. Canada's 10-year yield traded 1.9 basis points further below the yield on the 3-month T-bill to a spread of -7.2 basis points. The curve inverted on Friday for the first time since 2007, after domestic data showed weak inflation and a surprise drop in retail sales. Inversion is seen by some investors as a leading indicator of recession.

At 9:42 a.m. (1342 GMT), the Canadian dollar was

trading nearly unchanged at 1.3425 to the greenback, or 74.49 U.S. cents. The currency touched its weakest intraday since March 11 at 1.3440. Canada's trade report for January is due on Wednesday, while January gross domestic product data is due on Friday. Canadian government bond prices edged higher across the

yield curve, with the two-year price up 3 Canadian

cents to yield 1.518 percent and the benchmark 10-year rising 9 Canadian cents to yield 1.586 percent. The 10-year yield touched its lowest intraday level since June 2017 at 1.583 percent.

(Reporting by Fergal Smith Editing by Susan Thomas)