Canada Dollar Falls for Second Day on Bets Economy Trailing U.S.

The Canadian dollar weakened for a second day after a report showed U.S. retail sales rose for a fourth straight month, adding to signs the nation’s economy is falling behind that of its biggest trading partner.

The currency slid after Canada said last week the economy lost 39,400 jobs in July, versus the gain of 10,000 forecast in a Bloomberg survey. The nation’s 10-year bond yields climbed to a two-year high. The U.S. dollar rallied against its major peers on bets the Federal Reserve will start slowing bond buying as soon as next month as the world’s biggest economy improves.