Another bank calling lower for USD/CAD

Post from yesterday on RBC looking for CAD to gain:

• say USD/CAD could drop under 1.30 even after the drop its already had this month.

MUFG say yes, but ….

• the near-term outlook for the Canadian dollar is strongly positive, we doubt that it will be sustained.

Adding this now via National Bank of Canada

• Higher oil prices and narrowing Canada-U.S. differentials, courtesy of the Fed's dovish turn and better-than-expected Canadian economic data, are lifting the loonie.
• There is room for those two drivers to push USDCAD below 1.30 this summer

NBC do highlight a key risk though:

• risks the loonie may... depreciate versus USD should the global economic outlook darken, via say an escalation of trade protectionism.