07:33 AM EST, 12/06/2024 (MT Newswires) -- Canada will release its Labour Force Survey (LFS) for November at 8:30 a.m. ET on Friday, noted Bank of Montreal (BMO).

Canadian employment growth is expected to improve to 20,000 in November -- consensus at 25,000 -- after slowing to 14,500 in October, noted the bank.

Annual average hourly wage gains look to cool a bit to 4.5% year over year, while still pressuring unit labor costs higher -- 3.3% year over year in Q3 for the business sector -- with no help from sagging productivity, stated BMO.

The unemployment rate could rise a tenth to 6.6% with the consensus the same, returning to its cycle high of three months earlier, pointed out the bank.

This should warrant at least a quarter-point rate cut from the Bank of Canada next Wednesday, added BMO. With the economy already underperforming the BoC's expectations, a larger rise in the jobless rate could tip the scales toward a bigger rate move.