* Canadian dollar weakens 0.3% against the greenback * Inflation in Canada rises to 3.4% in April * Price of U.S. oil falls 4% * Canadian bond yields dip across the curve By Fergal Smith TORONTO, May 19 (Reuters) - The Canadian dollar weakened against its U.S. counterpart on Wednesday as commodity prices fell sharply, while domestic data showed inflation climbing in April at the fastest pace in a decade but at a rate that was less than in the United States. The loonie was trading 0.3% lower at 1.2106 to the greenback, or 82.60 U.S. cents. On Tuesday, it touched its strongest level since May 2015 at 1.2013. Inflation in Canada rose to 3.4% in April from 2.2% in March, mostly due to the statistical comparison to last year when prices sank during pandemic shutdowns, data from Statistics Canada showed. "The numbers are within expectations, a little bit stronger, not like a big blowout we saw in the U.S.," said Darcy Briggs, a portfolio manager at Franklin Templeton Canada. "It"s just reflective of dynamics going on in COVID." "It wasn"t disjointed from consensus expectations like the U.S. number was. I don"t expect much in the way of reaction from the Bank of Canada," Briggs said. Data last week showed U.S. CPI shot up 4.2% in the 12 months through April. Wall Street and commodity prices have been on a tear in recent months but were pressured on Wednesday by fears that rising inflation could force the U.S. Federal Reserve to pare back its support soon. ] Copper fell 3.3%, while oil , one of Canada"s main exports, tumbled 4% to $62.87 a barrel. Rising coronavirus cases in Asia also weighed on oil. The Bank of Canada has expressed concern about the strong dollar hurting exports, but soaring demand for commodities and a looming rebound in consumer spending are seen limiting the impact, economists said. Canadian government bond yields edged lower across the curve, with the 10-year down about half a basis point at 1.558%. (Reporting by Fergal Smith; editing by Barbara Lewis) Our Standards: The Thomson Reuters Trust Principles.