The Canadian dollar is expected to strengthen more than previously expected over the coming year if the Federal Reserve continues to cut interest rates and the review of a continental trade pact reduces economic uncertainty,

The Canadian dollar weakened for a seventh straight day against its U.S. counterpart on Wednesday as the prospect of increased Venezuelan oil exports undercut the appeal of the commodity-linked Canadian currency.

Scotiabank’s fair-value estimate for USD/CAD has rolled over toward 1.382, broadly in line with firmer oil prices and narrowing spreads.

The Canadian dollar weakened against its U.S. counterpart on Monday as ‍investors weighed ​the potential of Venezuelan crude displacing some of the supply to the United States from Canada’s energy sector.

Bank of America has updated its outlook for the USD/CAD currency pair to neutral, indicating that the Canadian dollar has reached a fair value position.

Scotiabank analysts argue that the Canadian dollar ended last year on a firmer footing after a run of better-than-expected data, and could regain ground if incoming numbers continue to show relative resilience compared with the US. From a technical perspective, Scotiabank sees the short-term setup as neutral to mildly bearish for USD/CAD.

Stablecoins have become increasingly popular over the years, drawing the attention of federal the government to regulate them in Canada.