The Globe and Mail reports in its Friday, June 23, edition that Citi foreign-exchange strategists, citing a recovering housing market, raised their target on the Canadian dollar by a penny to 76 U.S. cents. The Globe's Scott Barlow writes that Citi analyst Adam Pickett believes the Bank of Canada will remain hawkish relative to the remainder of the G10, with higher interest rates pushing bond yields high enough to attract foreign investment and support the loonie. Morgan Stanley strategists have been bearish and wrong so far in 2023 -- a combination that capital-markets departments usually view as bad for business. The strategy group remains pessimistic, in part because of continued inflation pressure that will push the U.S. Federal Reserve to further boost benchmark rates. Morgan Stanley Wealth Management's chief investment officer Lisa Shalett recently wrote that 250 basis points of the approximately 325-basis-point decline in inflation was caused by weaker commodity prices and a strong U.S. dollar. These trends have largely played out but wage growth, arguably the most important kind of inflation, remains high near 8 per cent.