* Canadian dollar at C$1.1108 or 90.03 U.S. cents
* Bond prices mostly down
* Eyes on Ukraine, data later in the week
By Andrea Hopkins
TORONTO, March 11 The Canadian dollar was little
changed against the U.S. dollar on Tuesday as market players
remained cautious about tensions between Ukraine and Russia and
a dearth of domestic data left traders waiting for direction.
World stocks held steady, the euro edged down and oil and
gold nudged up. That pattern was set in Asia, where markets took
a break from recent volatile trading but struggled to do much
more than make incremental moves.
"There is a bit of a data void in the short term," said
Jeremy Stretch, head of foreign exchange strategy at CIBC World
Markets in London. "Clearly the events in Russia and Ukraine are
still significant, so there is always the risk we could see
another bounce of risk aversion."
Tensions over Ukraine continued to build on Tuesday. With
diplomacy at a standstill, Ukraine's acting president announced
the formation of a volunteer national guard, while ousted leader
Viktor Yanukovich insisted he remained the country's legitimate
At 9:36 a.m. (1336 GMT), the Canadian dollar was at
C$1.1108 to the U.S. dollar, or 90.03 U.S. cents, little changed
from Monday's close of C$1.1101, or 90.08 U.S. cents.
"We're seeing a little bit of a grind back to the downside,
and I wouldn't be surprised if the flow continues to be biased
towards dollar-CAD grinding lower and perhaps towards the
C$1.1070=C$1.1075 area," said Stretch, noting that the Canadian
dollar has lagged other commodity currencies and may have some
chance to catch up in the days to come.
With little in the way of domestic data this week, Stretch
expects the currency's moves to remain limited. U.S. retail
sales, which fell unexpectedly in January amid unseasonably cold
weather, could be one potential driver later this week.
Canadian government bond prices were mostly lower across the
maturity curve, with the two-year bond flat to yield
1.041 percent and the benchmark 10-year down 14
Canadian cents to yield 2.513 percent.