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TORONTO, April 1 (Reuters) - Analysts have raised their Canadian dollar forecasts for the coming year, expecting the currency to benefit from faster growth in the domestic economy and a potential reduction by the Bank of Canada of its bond purchases, a Reuters poll showed.
The loonie advanced 1.4% against the U.S. dollar in the first quarter, its fourth straight quarterly gain and the best performance among the G10 currencies.
The median forecast of more than 30 strategists was for the Canadian dollar to rise a further 0.6% over the next three months to 1.25 per U.S. dollar, or 80 U.S. cents.
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