At 8:25 a.m. (1225 GMT), the Canadian dollar was trading 1.2pc lower at 1.4154 to the greenback, or 70.65 US cents.
The currency, which on Friday touched an 11-day high at 1.3922, traded in a range of 1.4000 and 1.4168.
Last week, the loonie rallied 3.1pc, its biggest weekly gain since October 2009.
US crude oil futures on Monday were down 6pc at $20.21 a barrel, while the US dollar snapped a week of declines as investors braced for prolonged uncertainty and governments tightened lockdowns to fight the coronavirus.
Canada will not allow anyone displaying symptoms of the COVID-19 respiratory illness to board domestic flights or inter-city passenger trains, Prime Minister Justin Trudeau said on Saturday, the latest travel restriction aimed at curbing the coronavirus outbreak.
On Friday, Canada said it will cover 75pc of wages for small businesses and the Bank of Canada cut its key interest rate to 0.25pc, the lowest level in a decade, as officials sought to limit layoffs and bolster an economy hard hit by the coronavirus pandemic.
The central bank also launched its first-ever quantitative easing program, saying it would buy government and commercial debt.
Canadian bond yields fell across the curve, with the 10-year down 7.4 basis points at 0.662pc.
Canada's GDP report for January is due on Tuesday.