CANADA FX DEBT-C$ slips after U.S. jobs data sends mixed signals

* C$ at C$0.9920 vs US$, or $1.0081
    * Bond prices rebound across curve

    By Claire Sibonney	
    TORONTO, May 4 (Reuters) - The Canadian dollar eased against
the greenback on Friday after a volatile reaction to the latest
U.S. jobs data that showed  employers cut back on hiring in
April and the jobless rate fell as people gave up the hunt for
    The currency hit both a session low and a session
high immediately after the report, moving between C$0.9915 to
the U.S. dollar to C$0.9862 before heading back into negative
    Analysts said the report gave mixed messages about the
economy's strength ahead of President Barack Obama's November
re-election bid. 	
    "Disappointing on headline," said Camilla Sutton, chief
currency strategist at Scotiabank, referring to the
lower-than-expected gain of 115,000 workers. "Maybe some
redemption in the net revision up 53K and the unemployment rate
fell to 8.1 (percent)."	
    In the jobs report, initial estimates for payroll growth in
February and March were revised upward by a combined 53,000.
That left the six-month average of job growth at 197,000, nearly
exactly where it would have been had April job growth come in as
expected at 170,000. 	
    "I think it's confusing because there's a complication of
how quantitative easing expectations play into it. I would argue
a weak employment environment in the U.S. leaves the door open
to further QE and is a weight against the U.S. dollar," Sutton
    By 9:16 a.m. (1316 GMT), the currency slipped to new session
lows, hitting C$0.9920 versus the U.S. dollar, or $1.0081, off
from Thursday's close at C$0.9889 versus the greenback, or
    Investors also were focused on weekend elections in the euro
zone, with evidence of a sharp contraction in the region's
dominant services sector suggesting its recession could last
longer than feared. 	
    Voting in France and Greece is likely to provide a litmus
test of popular tolerance for further austerity, a day after the
European Central Bank ended near-term hopes of more policy
easing to boost the ailing economy. 	
    Canadian bond prices rose across the curve, tracking U.S.
Treasuries' march into positive territory. 	
    Canada's two-year bond was up 4 Canadian cents to
yield 1.286 percent, while the benchmark 10-year bond
 gained 38 Canadian cents to yield 2.050 percent.