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The Canadian dollar CADUSD strengthened against the greenback on Tuesday, and the yield on benchmark government debt climbed.

The loonie was trading 0.7% higher at C$1.2883 to the greenback, or 77.62 U.S. cents, after trading in a range of 1.2877 to 1.2989.

Canadian government 10-year bond yields rose 2.1 basis points to 3.093%.

The yield on similar U.S. government benchmark debt rose to 3.0172%. U.S. August crude futures rose $1.62 to settle at $104.22 a barrel on Tuesday.

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