* Canadian dollar gains 0.5% against the greenback
* Loonie touches its strongest since April 15 at 1.3918
* Price of U.S. oil increases about 24%
* Canadian bond yields trade mixed across the curve
TORONTO, April 29 (Reuters) - The Canadian dollar
strengthened to a two-week high against its U.S. counterpart as
oil rallied and parts of the United States, Europe and Australia
gradually ease restrictions to help contain the coronavirus
outbreak.
Global market shares rose, with optimism over
economies easing coronavirus lockdowns and oil prices clawing
back ground leavened by caution over corporate earnings.
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 prices were up about 24% at $15.34 a
barrel after U.S. stockpiles rose less than expected and
gasoline stocks fell, with support also coming from hopes that
demand will improve as lockdowns ease.
At 9:45 a.m. (1345 GMT), the Canadian dollar was
trading 0.5% higher at 1.3929 to the greenback, or 71.79 U.S.
cents. The currency touched its strongest intraday level since
April 15 at 1.3918.
The next governor of the Bank of Canada has room to make an
immediate impact on monetary policy, economists say, as the
central bank's response to the coronavirus crisis likely shifts
from financial market support to boosting economic recovery.
Canada's GDP report for February is due on Thursday but
could be too dated to guide expectations for further easing
measures from the Bank of Canada.
Canadian government bond yields were mixed across the curve,
with the 10-year yield near unchanged at 0.565%.
(Reporting by Fergal Smith; editing by Jonathan Oatis)
Our Standards: The Thomson Reuters Trust Principles.