* Canadian dollar weakens 0.2% against the greenback * Canada adds 94,000 jobs in July * Price of U.S. oil rises 0.7% * Canadian bond yields rise across a steeper curve By Fergal Smith TORONTO, Aug 6 (Reuters) - The Canadian dollar weakened against its U.S. counterpart on Friday as data showing U.S. job growth rose solidly in July bolstered the greenback, while a domestic employment report undershot expectations. Canada added 94,000 jobs in July, far fewer than expected, though most of the gains were in full-time work, and the unemployment rate continued to tick down as the economy reopened. "On a domestic economic fundamental front this doesn"t really change too much" for the Canadian dollar," said Simon Harvey, FX market analyst for Monex Europe and Monex Canada. "It"s just a case of how it responds to broad U.S. dollar gyrations." The greenback rallied against a basket of major currencies as the U.S. jobs data suggested the economy maintained its strong momentum at the start of the second half of the year. The Canadian dollar was trading 0.2% lower at 1.2526 to the greenback, or 79.83 U.S. cents, after trading in a range of 1.2493 to 1.2541. For the week, it was on track to decline 0.4%. The price of oil , one of Canada"s major exports, rose 0.7% to $69.56 a barrel but remained on track for its biggest weekly decline since March on concerns over the impact on fuel demand from restrictions to curb the spread of the Delta coronavirus variant. With some 60% of its population vaccinated against COVID-19, Canada tops a ranking of major countries fighting the pandemic, but that success is unlikely to fully shield its commodity-linked economy from the global spread of the Delta variant. Canadian government bond yields were higher across a steeper curve, tracking the move in U.S. Treasuries. The 10-year rose 5 basis points to 1.226%. (Reporting by Fergal Smith; editing by Jonathan Oatis) Our Standards: The Thomson Reuters Trust Principles.