North American markets look set to open flat this morning after a strong rally Wednesday.

It today’s economic news, the number of U.S. workers filing first-time applications for unemployment benefits surged to two-month high last week amid an increase in “temporary” automobile-industry layoffs, the government said.

Initial jobless claims for the week ended May 28 rose by 25,000 to 350,000, the Labor Department reported. The four-week average rose by 3,500 to 334,500.

There are no major economic announcements from Statistics Canada today.

Crude futures eased but remained above US$54 per barrel Thursday morning despite a new pledge from OPEC to maintain current production levels, as strong demand for diesel rekindled worries of a shortfall in the second half of the year.

Toronto stocks finished ahead on Wednesday as strong gains in the information technology, energy and materials sectors offset losses in financials and consumer staples. The S&P/TSX composite index was up 46.86, or 0.49%, to finish at 9,654.16.

News that a consortium led by Brookfield Properties Corp., a subsidiary of Brascan Corp., planned to acquire both O&Y Real Estate Investment Trust and O&Y Properties Corp. for approximately $2 billion affected all stocks involved.

Brascan dropped 50¢ at $47.90, a decrease of 1.03%; Brookfield finished up 10¢ at $26.35, an increase of 0.38%

Meanwhile, O&Y REIT lost 72¢, or 4.74%, to close at $15.40 and O&Y Properties lost 49¢, or 3.67%, to finish at $12.85.

The junior S&P/TSX Venture composite index advanced 14.02 points, or 0.85%, to 1,664.40.

In New York, the Dow Jones industrial average close up 81.58 points, or at 10,549.06.

The tech-heavy Nasdaq composite gained 19.64, or 0.95%, to 2,087.86, while the broad-based S&P 500 index moved up 10.72, or 0.90%, to 1,202.22.

Communications problems forced the New York Stock Exchange to halt trading a few minutes before the market closed Wednesday, although there was no indication the hiccup would affect the big board Thursday morning.