CANADA FX DEBT-C$ rebounds from a 2-month low ahead of economic data

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    * Canadian dollar rises 0.1% against the greenback
    * U.S. oil prices increase by 0.2%
    * Bond prices move higher across the maturity curve

    By Levent Uslu
    TORONTO, Aug 20 (Reuters) - The Canadian dollar edged higher
against its U.S. counterpart on Tuesday, recovering from a
two-month low it touched earlier, as investors awaited domestic
economic data expected this week.
    Canadian inflation data for July is due on Wednesday and
retail sales for June will come out on Friday. Reuters polls
predicted a 1.7% annual rate of inflation and a 0.1% decrease
for June retail sales.
    "Key points will be tomorrow's CPI and then retail sales on
Friday ... so I think people are just more of a wait-and-see on
the data," said Don Mikolich, executive director of  foreign
exchange sales at CIBC Capital Markets 
    The Canadian dollar          was trading 0.1% higher at
1.3311 to the greenback, or 75.13 U.S. cents, at 3:44 p.m. (1944
GMT). Earlier in the day, the currency touched it weakest
intraday level since June at 1.3346.
    The rise for the loonie came as the price of oil, one of
Canada's major exports, steadied on optimism that U.S.-China
trade tensions will ease and hopes that major economies will
take stimulus measures to ward off a possible economic slowdown.
Oil prices had earlier fallen after the Organization of
Petroleum Exporting Countries cut its forecast for global oil
demand growth in 2020.             
    U.S. crude oil futures        settled 0.2% higher at $56.34
a barrel.
    Canadian factory sales decreased by 1.2% in June from May on
lower petroleum and coal product sales, domestic data showed,
although the decline was less than the 1.7% forecast.
            
    Canadian government bond prices were higher across the 
yield curve, with the two-year            up 3 Canadian cents to
yield 1.343% and the 10-year             rising 22 Canadian
cents to yield 1.165%.

 (Reporting by Levent Uslu; Editing by Peter Cooney)
  

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