* Canadian dollar falls 0.2% against the greenback
    * Loonie touches its strongest intraday level since July 9
    * Price of U.S. oil decreases 1.1%
    * Canada's 10-year yield eases 3.1 basis points to 0.507%

    TORONTO, July 16 (Reuters) - The Canadian dollar weakened
against its U.S. counterpart on Thursday as oil prices fell and
worse-than-expected Chinese consumption data weighed on investor
sentiment, with the loonie pulling back from an earlier one-week
    The price of oil, one of Canada's major exports, declined
after OPEC and other producers including Russia agreed to ease
record supply curbs from August. U.S. crude oil futures       
were down 1.1% at $40.74 a barrel.            
    Shares fell globally          as U.S.-China relations
deteriorated and after data showed that Chinese retail sales
surprisingly fell for the fifth straight month.                 
    The Canadian dollar        was trading 0.2% lower at 1.3536
to the greenback, or 73.88 U.S. cents. The currency touched its
strongest intraday level since last Thursday at 1.3498.
    On Wednesday, the Bank of Canada said that Canada's economic
activity will not return to pre-pandemic levels until 2022 and
interest rates will remain low for at least two years as it
again held its key overnight rate steady.             
    Canada added more than 1 million jobs in June after shedding
nearly 3 million jobs in May as businesses reopened after
shutdowns related to COVID-19, according to a report from
payroll services provider ADP on Thursday.             
    Foreign investors bought a net C$22.41 billion in Canadian
securities in May, led by federal government short-term bonds,
following a revised C$49.03 billion total purchase in April,
Statistics Canada said.                 
    Canadian government bond yields were lower across much of a
flatter curve, with the 10-year             down 3.1 basis
points at 0.507%.

 (Reporting by Fergal Smith; editing by Jonathan Oatis)

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