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Rising oil prices have pushed up the loonie against the U.S. dollar in recent months, but CIBC Capital Markets says that will likely change later this year.

CIBC analysts said in a new report that a Fed hike in December will push the loonie down to 74 cents U.S., from its current level of about 77 cents U.S.

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“With oil prices expected to languish around current levels, look for the loonie to reach the 1.35 (74 cents U.S.) level by the end of the year,” write analysts at CIBC World Markets. “That’s a less dramatic move than we earlier thought, since we eliminated a September hike from our Fed outlook.”

The loonie could fall from current levels later this summer, when StatsCan releases economic data for the second quarter. CIBC expects those numbers will be worse than the market is pricing in. Still, analysts say it likely won’t be enough to do real damage to the currency.