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* Loonie gains 1.9% in May
* Canada posts first current account surplus since 2008
* Price of U.S. oil rises 0.9%
* Canadian bond yields edge lower across the curve
By Fergal Smith
TORONTO, May 31 (Reuters) - The Canadian dollar was little
changed against the greenback on Monday, notching its fourth
straight monthly gain as oil rose and a recent surge in the
administration of COVID-19 vaccines to Canadians bolstered the
outlook for the domestic economy.
With London and New York markets closed for holidays, the
Canadian dollar was trading nearly unchanged at 1.2064 to
the greenback, or 82.89 U.S. cents. For May, it was up 1.9%,
extending a string of monthly gains that started in February.
The currency was helped this month by higher commodity
prices and a broadly weaker U.S. dollar, as well as a jump in
Canadian vaccination levels, said Michael Goshko, corporate risk
manager at Western Union Business Solutions.
The Canadian economy "is going to come back very strongly in
the second half of the year," Goshko said.
The share of Canadians who have received at least one dose
of a COVID-19 vaccine has soared to 57% from 33% at the start of
the month, data from the Our World in Data project at the
University of Oxford shows.
Canada's current account balance in the first quarter swung
to a surplus for the first time since 2008, mainly boosted this
year by exports of oil and lumber, data showed on Monday.
Oil rose 0.9% on Monday, helped by growing optimism
that fuel demand will grow in the next quarter, while the U.S.
dollar fell against a basket of major currencies.
.
Canada's GDP data for the first quarter is due on Tuesday
and the May jobs report is due on Friday, which could offer
clues on the Bank of Canada's policy outlook.
Canadian government bond yields eased across the curve, with
the 10-year down 1.2 basis points at 1.488%.
(Reporting by Fergal Smith; Editing by Bernadette Baum and
Peter Cooney)
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