CANADA FX DEBT-C$ unwinds gains as U.S. Fed dampens hope of large rate cut

 (Adds strategist quotes and details throughout; updates prices)
    * Canadian dollar trades near flat against the greenback
    * Canadian wholesale trade rises 1.7% in April
    * Price of U.S. oil decreases 0.1%
    * Canadian bond prices rise across a flatter yield curve

    By Fergal Smith
    TORONTO, June 25 (Reuters) - The Canadian dollar was little
changed against its U.S. counterpart on Tuesday, giving up its
earlier gains, as less dovish than anticipated comments from a
U.S. Federal Reserve policymaker offset strong domestic
wholesale trade data.
    Canadian wholesale trade increased by 1.7% in April from
March on stronger sales in the motor vehicle and motor vehicle
parts and accessories subsector, Statistics Canada said.
Analysts had forecast a 0.2% increase.             
    The greater-than-expected gain could boost prospects for
April gross domestic product data, which is due for release on
    "We did get a pretty nice wholesale trade number this
morning," said Eric Theoret, a currency strategist at Scotiabank
"It gave the CAD a bit of a lift but generally it has been more
of a big U.S. dollar story today rather than anything CAD
    The U.S. dollar        climbed against a basket of major
currencies after St. Louis Federal Reserve President James
Bullard said he does not see the need for a half-point interest
rate cut at next month's Federal Open Market Committee meeting.
    "The fact that the most dovish member of the FOMC, the one
who dissented at the last meeting, didn't endorse a 50 basis
point cut was a surprise for the market," Theoret said.
    Investors have been betting on much more easing from the Fed
over the coming months than from the Bank of Canada.           
    At 3:06 p.m. (1906 GMT), the Canadian dollar          was
trading nearly unchanged at 1.3178 to the greenback, or 75.88
U.S. cents. The currency, which on Thursday touched its
strongest intraday level since March 1 at 1.3151, traded in a
range of 1.3153 to 1.3208.
    The price of oil, one of Canada's major exports, dipped on
concerns that U.S.-China trade tensions could weigh on fuel
demand. U.S. crude oil futures        settled 0.1% lower at
$57.83 a barrel.             
    Canadian government bond prices were higher across a flatter
yield curve in sympathy with U.S. Treasuries. The two-year
           rose 1.5 Canadian cents to yield 1.397% and the
10-year             gained 22 Canadian cents to yield 1.438%.

 (Reporting by Fergal Smith
Editing by Susan Thomas)