C$ extends weekly advance as flash economic indicators show gains
* Canadian dollar rises 0.1% against the greenback
* Advance results for September manufacturing sales show 1.5% rise
* Loonie climbs 0.5% since the start of the week
* Canada's 10-year yield touches an 8-week high at 0.680%
TORONTO, Oct 23 (Reuters) - The Canadian dollar edged higher against its U.S. counterpart on Friday, as investors welcomed signs of progress on a U.S. coronavirus relief package and some domestic economic indicators were estimated to have climbed in September.
Canadian manufacturing sales last month most likely rose by 1.5% after falling 2.0% in August, Statistics Canada said in a flash estimate. A separate flash estimate showed wholesale sales increasing by 0.4% after rising 0.3% in August.
Wall Street's main indexes were set for a higher open after White House Chief of Staff Mark Meadows late on Thursday said that negotiations with lawmakers on stimulus have entered a new phase with congressional committee chairs meeting and the two sides trading technical language.
Canada sends about 75% of its exports to the United States, including oil. U.S. crude prices were up 0.3% at $40.77 a barrel, supported by the prospect of an extension to OPEC-led supply curbs.
The Canadian dollar was trading 0.1% higher at 1.3118 to the greenback, or 76.23 U.S. cents, having traded in a range of 1.3109 to 1.3157. For the week, the loonie was on track to rise 0.5%.
The U.S. dollar fell against a basket of major currencies, including the euro, after data showed Germany's manufacturing sector expanding at a faster rate.
The Bank of Canada is due next week to make an interest rate decision and update its economic outlook. The central bank has said it will leave interest rates at a record low of 0.25% until its 2% inflation target is sustainably achieved, which it does not expect for at least two years.
Canadian government bond yields were higher across much of a steeper curve on Friday, with the 10-year up nearly 1 basis point at 0.667%. It touched its highest intraday level in eight weeks at 0.680%. (Reporting by Fergal Smith; Editing by Andrea Ricci) ((email@example.com; +1 647 480 7446;)) Keywords: CANADA FOREX/
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.