* Canadian dollar falls 0.4% against the greenback * Canada adds 418,500 jobs in July * Price of U.S. oil falls 0.7% * Canada's 10-year yield eases to 0.458% TORONTO, Aug 7 (Reuters) - The Canadian dollar fell against its broadly stronger U.S. counterpart on Friday as a trade squabble between Canada and the United States offset stronger-than-expected domestic jobs data, with the loonie giving back some of this week's gains. Ottawa pledged retaliation after U.S. President Donald Trump on Thursday moved to reimpose 10% tariffs on some Canadian aluminum products to protect U.S. industry from a "surge" in imports. Canada added 418,500 jobs in July, mostly part-time, and the unemployment rate fell to 10.9% as the economy continued to reopen, Statistics Canada said. Analysts had predicted a gain of 400,000 jobs. Jobs data was also stronger than expected in the United States, with nonfarm payrolls increasing by 1.763 million jobs last month. The Canadian dollar was trading 0.4% lower at 1.3360 to the greenback, or 74.85 U.S. cents. The currency traded in a range of 1.3284 to 1.3372. For the week, it was on track to rise 0.4%. The decline for the loonie on Friday came as Trump's move to ban transactions with the Chinese owners of two popular mobile apps weighed on stocks globally and boosted the U.S. dollar. Canada runs a current account deficit and is a major exporter of commodities, including oil, so the loonie tends to be sensitive to the global flow of trade and capital. U.S. crude oil futures fell 0.7% to $41.67 a barrel on worries that recovery of demand would slow due to a resurgence of coronavirus cases. Canada's 10-year bond yield eased less than half of a basis point to 0.458%, holding near its lowest level since March. (Reporting by Fergal Smith; Editing by Steve Orlofsky)
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