CANADA FX DEBT-C$ slides to 1-week low as virus resurgence hits risk appetite

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* Canadian dollar falls 0.6% against the greenback * Price of U.S. oil declines 3.7% * Canadian home sales rise to new all-time monthly record * Canadian bond yields fall across a flatter curve TORONTO, Oct 15 (Reuters) - The Canadian dollar weakened to a one-week low against its U.S. counterpart on Thursday as investors worried that tightening restrictions to combat a second wave of the coronavirus pandemic would slow global economic recovery. Global shares fell as some European countries revived curfews to try to contain the rise in new COVID-19 infections. Canada is a major producer of commodities, including oil, so the loonie tends to be sensitive to the outlook for the global economy. U.S. crude oil futures dropped 3.7% to $39.51 a barrel, while the Canadian dollar was trading 0.6% lower at 1.3224 to the greenback, or 75.62 U.S. cents. The currency touched its weakest intraday level since last Thursday at 1.3241. Domestic economic data was mixed. Canadian home sales rose 0.9% in September from August, raising them to another new all-time monthly record, the Canadian Real Estate Association said. Separate data, from payroll services provider ADP, showed that Canada lost 240,800 jobs in September, extending a run of declines that began in March. That contrasts with labour force survey data last Friday from Canada's national statistics agency showing job gains in recent months that have brought employment within 720,000 of its pre-pandemic level. Canadian government bond yields were lower across a flatter curve, with the 10-year down 3.3 basis points at 0.548%. (Reporting by Fergal Smith Editing by Marguerita Choy)

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