�Ordinarily, we might expect the Canadian dollar to benefit from an accelerating U.S. economy. If the U.S. economy is doing better, what about growth-related currencies in the G10?

A Canadian dollar, left, and a Euro are seen next to a series of U.S. dollars in this January 26, 2011 photo in Montreal. THE CANADIAN PRESS/Paul Chiasson.

TORONTO - The Canadian dollar closed at 97.17 cents US on Friday, down 0.95 of a cent from Thursday's close. The U.S. dollar ended at 102.91 cents Cdn, up 0.99 of a cent.

Toronto-Dominion Bank says the loonie, now at near par, will tumble to 90 cents by early next year, before recovering to 93 cents by the end of 2014.

Last week, the Canadian dollar was the most shorted major global currency, next to the yen, as speculators ganged up on the currency.

A lower Canadian dollar may be welcome news for the country's exporters, but waiting for the currency to find its new normal is unsettling.

Iceland's central bank has said the loonie, as Canada's dollar coin is known, would be a poor choice for the country, but the issue is one that garnered much attention last year.

�Speculators have ganged up on the Canadian dollar by shorting the currency like there was no tomorrow,� Mr. Marion said.

... to have become pessimistic on the loonie, foreign investors continue to see the country as a bastion of political, fiscal and central bank stability.

TORONTO - The Canadian dollar closed slightly higher Wednesday as a raft of negative economic data raised demand concerns and depressed commodity prices.