CANADA FX DEBT-C$ firms despite lower oil prices, more dovish Bank of Canada

 (Adds strategist quotes and details throughout; updates prices)
    * Canadian dollar rises 0.1% against the greenback
    * Canadian nonfarm payroll jobs rise 31,700 in February
    * Price of U.S. oil falls 1%
    * Canadian bond prices fall across much of the yield curve

    By Fergal Smith
    TORONTO, April 25 (Reuters) - The Canadian dollar edged
higher against its U.S. counterpart on Thursday, posting a
modest gain despite a drop in oil prices and a more dovish
stance from the Bank of Canada the day before.
    At 4:08 p.m. ET (2008 GMT), the Canadian dollar          was
trading 0.1% higher at 1.3485 to the greenback, or 74.16 U.S.
    The currency, which hit a nearly four-month low on Wednesday
at 1.3522, traded in a range of 1.3484 to 1.3517. For the week,
it is down 0.7%.
    "Most of the decline this week is pure U.S. dollar
strength," said Adam Button, chief currency analyst at
ForexLive. "In the big picture the Canadian dollar is holding up
well and today it is holding up well despite a drop in oil."
    The price of oil, one of Canada's major exports, fell as
investors second-guessed the market's ability to rally further.
U.S. crude oil futures       , which notched a nearly six-month
high on Tuesday, settled 1% lower at $65.21 a barrel.
    The Bank of Canada held its benchmark interest rate steady
at 1.75% on Wednesday as expected and removed wording about the
need for future rate hikes. The central bank lowered its growth
forecast for 2019 to 1.2% from 1.7% but it saw an upside risk
from stronger growth in the United States.             
    "Some positive spillovers from the U.S. will start to emerge
for the Canadian economy and the Canadian dollar," Button said.
    Data showing new orders for U.S.-made capital goods
increased by the most in eight months in March helped support
the U.S. dollar       , which notched its highest level in about
two years against a basket of major currencies.             
    The number of Canadian nonfarm payroll employees rose by
31,700 in February from January, while average weekly earnings
slowed on an annual basis to 1.1% from 1.9%, data from
Statistics Canada showed.
    Canadian government bond prices were lower across much of
the yield curve, with the two-year            down 7 Canadian
cents to yield 1.550% and the 10-year             falling 27
Canadian cents to yield 1.704%.
    On Wednesday, the 10-year yield hit its lowest intraday
since April 2 at 1.649%.

 (Reporting by Fergal Smith; editing by Jonathan Oatis and Lisa