Weakness in the industrial sector has the Toronto market lower Friday, but a bullish outlook from computer maker Dell has U.S. markets posting modest gains. At midday, the S&P/TSX composite is down 4.27 points at 8,128.07.

The TSX industrial sub-index is off 1%, with shares in Bombardier down 6¢ at $2.93, and CP Ships off 88¢ to $16.65. Royal Group Technologies is down 42¢ to $11.38.

In New York, shares of computer maker Dell are up $1.52 to US$34.64 at midday. Dell said late Thursday that profits rose 29% in the quarter on strong sales.

Dell’s optimistic forecast for 2004 offers investors some respite from disappointing outlooks from Hewlett-Packard Co. and Cisco Systems Inc. earlier in the week.

In Toronto, Hudson’s Bay Co. shares are up 6%, amid reports that U.S. department store chain Target is in talks to buy the company.

HBS shares are up 88¢ at $15.13 on the TSX.

Investment dealer Canaccord Capital Inc., which recently completed its initial public stock offering, is reporting a first-quarter profit of $8.4 million — a sharp turnaround from a year-ago loss. Canacorrd shares are up 67¢ at $8.75.

Other active stocks on the TSX include Nortel Networks, up 4¢ to $4.35, and CI Fund Management, off 20¢ at 16.05.

The junior S&P/TSX Venture composite index is off 0.90 of a point to 1,471.60.

On Wall Street, U.S. stocks are higher at midday following Dell’s gave upbeat outlook.

The Dow Jones industrial average is up 7.45 points at 9,822.04. The tech-heavy Nasdaq composite index is up 7.13 points at 1,759.62, while the S&P 500 is ahead 1.57 points at1,064.80.