TORONTO: The Canadian dollar was little changed on Wednesday against its US counterpart, as traders tread cautiously following news from the country's statistical agency that it would be restating July's employment report.
The currency had strengthened briefly after an unexpectedly flat US retail sales report indicated a moderation in consumer spending early in the current quarter and pressured the US dollar.
In Canada, data showed that home prices rose in July and the pace of 12-month home price appreciation accelerated, according to the Teranet-National Bank Composite House Price Index.
The Canadian dollar has mostly held within a relatively narrow range between C$1.0877 and C$1.0986 over the last 10 sessions and that is unlikely to change ahead of corrected employment figures from Statistics Canada on Friday.
"We've had all these currencies stuck in some fairly tight ranges ... and that's kind of continuing," said Camilla Sutton, chief currency strategist at Scotiabank.
"A lot of traders are quite focused on what Friday's employment release will really mean and what the error is."
The Canadian dollar, which was generally weaker against most other major currencies, was trading at C$1.0925 to the greenback, or 91.53 US cents. This was little changed from Tuesday's close at C$1.0922, or 91.56 US cents.
The US retail sales data, which accounts for a third of US consumer spending, was the weakest reading since January, and could see the Federal Reserve in no rush to start hiking interest rates.
Canadian government bond prices were higher across the maturity curve, with the two-year bond up 3 Canadian cents to yield 1.070 percent and the benchmark 10-year bond rising 22 Canadian cents to yield 2.091 percent.
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