Foresees four rate hikes this year, up from the three it had previously forecast.
US interest rate hike signals the Fed is feeling optimistic about the economy.
A stronger US economy and a weaker loonie will support commodity prices and boost demand for Canadian exports.
US manufacturers have struggled this year, with output up only 1.8% in the last 12 months.
Impact would be gradual, and taxes would be repealed if agreement came shortly after Jan.1.
There is, however, data from StatsCan that suggests manufacturing shipments have slowed.