* C$ at C$0.9920 vs US$, or $1.0081
* Weak China export data weighs
* Bond prices higher across the curve
By Jon Cook
TORONTO, March 12 The Canadian dollar
eased back against its U.S. counterpart on Monday as weak
Chinese export data weighed on commodities and trading thinned
out at the start of spring break holidays and ahead of Tuesday's
U.S. Federal Reserve meeting.
Data released over the weekend by China, showed the
commodity-consuming giant posted its largest trade deficit in at
least a decade, fanning concerns about the world's second
"Without that (China data) then perhaps the Canadian dollar
would be a little stronger," said Jeremy Stretch, head of
foreign exchange strategy at CIBC World Markets in London. "It's
a pretty lackluster session."
The China news took some of the shine off last week's robust
U.S. outlook, as the American economy added more than 200,000
workers for a third straight month in February, a further signal
of recovery in Canada's biggest trading partner.
At 8:15 a.m. (1215 GMT), the Canadian dollar stood
at C$0.9920 versus the U.S. dollar, or $1.0081, down slightly
from Friday's North American session close at C$0.9909 versus
the U.S. dollar, or $1.0092.
The currency has recently traded within a tight window near
parity with the greenback and Stretch said he saw it remaining
rangebound between C$0.9840 on the high end and C$1.0050 on the
"It doesn't look as though we're going to have too much in
the way of independent impetus, at least in the short term, to
break us out of that range," added Stretch.
Market moves were limited with North American investors on
spring break holidays and ahead of Tuesday's U.S. Federal
Reserve policy meeting, which will look at whether the current
program of monetary stimulus, due to expire in late June, will
Canadian bond prices were higher across the curve, with the
two-year bond up 1 Canadian cent to yield 1.169
percent, while the 10-year bond rose 10 Canadian
cents to yield 1.997 percent.