In their monthly FX note Scotiabank...>

DOLLAR-CANADA: In their monthly FX note Scotiabank remain "constructive on the

CAD, which continues to perform more or less in accordance with expectations.

Increasing demand for raw materials has coincided with deteriorating supply,

which is producing a positive environment for crude oil and other raw materials.

Canadian growth slowed after the robust expansion seen in H2 last year but the

economy is picking up momentum again and we expect above potential growth to

support the case for a moderate tightening in Bank of Canada monetary policy

over the course of the year. NAFTA represents the biggest uncertainty for the

CAD in the near-term, with the US pushing for a progress in the next few weeks.

But risks cut both ways for the currency; a positive outcome to the discussions

would clearly lift the CAD, for example. We remain constructive on the longer

run outlook for the CAD and anticipate USDCAD ending 2018 at 1.25 (unch)."