The Canadian dollar clawed back much of its decline against its U.S. counterpart on Monday as investors weighed the possibility of Canada achieving a reprieve from U.S. tariffs, with the currency rebounding from an earlier 22-year low.

U.S. President Donald Trump’s threat of tariffs and remarks about making Canada the “51st state” appear to have unified Canadians against his administration. A new Ipsos poll found 68 per cent of Canadians think less of America in the wake of Trump’s threats.

The Canadian dollar is set to edge lower over the coming months as the threat of U.S. trade tariffs remains in place despite an early reprieve, but the currency is expected to recover and trade at a higher level in one year,