07:31 AM EST, 01/30/2025 (MT Newswires) -- Canada will release the Survey of Employment, Payrolls and Hours (SEPH) for November at 8:30 a.m. ET on Thursday, noted Bank of Montreal (BMO).

November's SEPH could report a further decline in the job vacancy rate after touching a seven-year low the prior month, said the bank.

The Bank of Canada has a stronger case than the United States Federal Reserve to extend the easing cycle even after chipping another 25 bps off the policy rate on Wednesday, stated BMO. Canada's economy is weaker, jobless rate higher and inflation lower than in the U.S.

In addition, Canada would suffer more casualties in a trade war between the two, pointed out the bank. While the BoC was vague about its response to 25% U.S. tariffs given uncertainty about the inflation impact, its estimate of a 2.4-ppts reduction in real gross domestic product growth relative to baseline in the first year -- putting the economy in a modest recession range -- would ultimately carry sway.

Even barring new tariffs, BMO expects two more quarter-point rate cuts -- in April and July -- though this is subject to change after the weekend.

The Canadian dollar (CAD or loonie) is holding at C$1.441, ever-so-slightly firmer following Monday's policy announcements from the BoC and the Fed, added the bank.