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CANADA FX DEBT-Canadian dollar steadies ahead of Macklem speech, as oil falls

    * Canadian dollar trades near flat against the greenback
    * Price of U.S. oil decreases 2%
    * Canadian bond yields edge higher across the curve
    * Moody's revises the outlook on Saskatchewan to negative

    TORONTO, Sept 10 (Reuters) - The Canadian dollar was little
changed against its broadly weaker U.S. counterpart on Thursday
as oil prices fell, with the loonie steadying ahead of a speech
by Bank of Canada Governor Tiff Macklem.   
     The price of oil, one of Canada's major exports, was lower
after data showed U.S. crude stockpiles rose last week and the
U.S. Energy Information Administration reduced its demand
outlook. U.S. crude        prices were down 2% at $37.28 a
barrel.             
    The U.S. dollar        lost ground against a basket of major
currencies after comments by European Central Bank President
Christine Lagarde boosted the euro       .             
    The Canadian dollar        was trading nearly unchanged at
1.3139 to the greenback, or 76.11 U.S. cents. The currency,
which hit on Wednesday a three-week low at 1.3259, traded in a
range of 1.3130 to 1.3168.
    Macklem will speak via video conference to a business
audience at 12:30 p.m. (1630 GMT). On Wednesday, the BoC held
its key interest rate steady at 0.25% but left the door open on
possible future changes to its quantitative easing program.
            
    With COVID-19 cases in Canada on the rise again and children
returning to schools across the country, Prime Minister Justin
Trudeau on Wednesday urged people to be careful in order to
avoid new major outbreaks.             
    Canadian government bond yields edged higher across the
curve on Thursday, with the 10-year             up 0.3 basis
points at 0.599%.
    The gap between the Province of Saskatchewan's 10-year yield
and the yield on the equivalent maturity Government of Canada
bond was little changed at about 80 basis points after Moody's
Investors Service changed the outlook on the province's triple A
debt rating to negative from stable due to uncertainty related
to the coronavirus pandemic and weaker commodity prices.
    Saskatchewan's economy is heavily reliant on oil, gas and
potash revenues.    

 (Reporting by Fergal Smith; Editing by Steve Orlofsky)
  
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