The Canadian dollar hit a new nine-month high on Wednesday, buoyed by oil prices that touched their highest level since November.

The loonie got up to 79.54 cents US at one point, its highest mark since July 2015. It later closed at 79.25 cents US for a gain of 0.02 of a cent on the day.

The price of a barrel of the North American oil benchmark known as West Texas Intermediate rose by $1.29 US on Wednesday to close at $45.33, even as new data showed U.S. oil inventories increased by two million barrels last week.

WTI touches $45

Some experts caution that the recent oil rally may be short-lived.

"The concern is that at $45 [a barrel] a significant amount of oil plays become profitable again and we still have not seen a big enough decline in oil output to bring about the appropriate supply and demand rebalancing," said Angus Nicholson of IG.

Everyone in the market is concerned that we could see a repeat of 2015, where after a dramatic price decline, prices began to rise again and prompted a huge influx of oversupply and an even more severe sell-off."