* Canadian dollar advances 0.3% against the greenback * Loonie trades in a range of 1.2773 to 1.2822 * Price of U.S. oil increases 0.4% * Canadian bond yields rise across a steeper curve By Fergal Smith TORONTO, Dec 9 (Reuters) - The Canadian dollar strengthened against its U.S. counterpart on Wednesday as U.S. efforts to provide more fiscal stimulus bolstered investor sentiment, although the move was capped ahead of a Bank of Canada interest rate decision. Global stocks reached record highs as U.S. lawmakers continued to negotiate over additional stimulus to help offset the economic impact of the coronavirus pandemic. Canada sends about 75% of its exports to the United States, including oil. U.S. crude oil futures were up 0.4% at $45.8 a barrel as the rollout of a COVID-19 vaccine in Britain lifted investor hopes for a recovery in fuel demand. The Canadian dollar was trading 0.3% higher at 1.2779 to the greenback, or 78.25 U.S. cents, having traded in a range of 1.2773 to 1.2822. On Tuesday, the loonie touched its strongest intraday level in more than two and a half years at 1.2763. The Bank of Canada is expected to keep its benchmark interest rate on hold at a record low of 0.25%. Its policy decision is due at 10 a.m. (1500 GMT). "The statement will likely be a push and pull of the positive vaccine developments versus increasing case loads and restrictions currently in place," Benjamin Reitzes, a Canadian rates and macro strategist at BMO Capital Markets, said in a note. Canadian government bond yields were higher across a steeper curve, with the 10-year up 2.6 basis points at 0.767%. On Monday, it touched a three-week high intraday at 0.810%. (Reporting by Fergal Smith; Editing by Bernadette Baum)