* C$ slightly up at 94.86 U.S. cents * Bonds edge higher across the curve By Claire Sibonney TORONTO, Feb 24 (Reuters) - The Canadian dollar edgedhigher against its U.S. counterpart on Wednesday, with sometraders hopeful that U.S. Federal Reserve Chairman BenBernanke"s congressional testimony will revive risk appetite. Any clues suggesting U.S. central bank will not rush tohike rates could offset risk aversion that sent markets loweron Tuesday after an unexpected drop in U.S. home prices andconsumer confidence. "The market will likely put that in the rearview mirror andfocus on Bernanke today," said Jack Spitz, managing director offoreign exchange at National Bank Financial. "If he"s somewhat upbeat and the market looks to reliefrally and to equities, it could contribute to Canadian dollarbuying today." As oil prices slipped, Spitz said market players will alsobe watching for data later this morning on U.S. crudeinventories and imports for more indications on the shape ofthe global recovery. [O/R] At 9:06 a.m. (1406 GMT) The Canadian dollar was atC$1.0542, or 94.86 U.S. cents, slightly up from Tuesday"s closeat C$1.0566 to the U.S. dollar, or 94.64 U.S. cents. Canadian bond prices were also little changed to slightlyhigher ahead of Bernanke"s testimony and a report on new homesales. The two-year Canadian government bond CA2YT=RR was flatat C$100.335 to yield 1.331 percent, while the 10-year bondCA10YT=RR gained 5 Canadian cents to C$102.550 to yield 3.426percent. (Reporting by Claire Sibonney; Editing by Jeffrey Hodgson)
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