We doubt that the recent rally in the Canadian dollar to above parity against its US counterpart will last. Admittedly, the safe haven status of the currency may continue to support it in the near-term, which has prompted us to revise up our forecast to US$0.96 for year end (previously US$0.92). But the expected slowdown in the global economy and Canada's domestic economy over the longer term will weigh on the Canadian dollar, pushing it under US$0.90 by the end of 2013.
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