North American markets got a shot in the arm Wednesday morning from a bevy of bullish blue chip earnings and a $75-billion thank-you from Microsoft Corp. to its shareholders.

As of midday, Toronto’s S&P/TSX composite index was up 55.8 points or 0.66% to 8473.95, although it had been as high as almost 8500 at one point; the TSX Venture Exchange was off 7.92 points or 0,52% to 1519.22.

On Wall Street, the Dow Jones industrial average was up almost 60 points or 0.59% to 10208.95. But it was see-sawing after approaching the 10240 level, while both the Nasdaq and S&P 500 were essentially flat. The technology-laced Nasdaq Composite Index was off two points to 1915.04, while ther S&P was ahead 2.50 points or 0.23% to 1111.17.

The Canadian dollar was lower, down 0.72 cent to US75.44 cents as the U.S. dollar continued to gain against the world’s major currencies, helped by an upbeat assessment of the U.S. economy from Fed chief Alan Greenspan.

Wall Street was boosted by a number of better-than-expected earnings reports from blue chip companies, including United Technologies Corp., Motorola Inc., Lucent Technologies Inc. and General Motors Corp.

Then there was Microsoft, which generates about $1 billion in cash a month, and which said after Tuesday’s close it planned to buy its own stock, double its dividend and issue a special one-time dividend. It said it plans to pay out most of its cash hoard directly to shareholders through dividends and stock buybacks totalling up to US$75 billion over four years. Shares in the world’s largest software maker rose $1.03 to US$29.35 in early Wednesday trading. More than 50 million Microsoft shares changed hands on the Nasdaq in the first 30 minutes of trading, more than half the 30-day average daily volume of 71.5 million shares.

U.S. markets also were focusing on remarks by Greenspan to a U.S. House of Representatives’ committee. His comments were identical to remarks on Tuesday when he told the U.S. Senate Banking Committee the economy had entered a self-sustainable expansion that was generating price increases but not enough to threaten the economy.

On Bay Street, the biggest sector gain was from telecommunications stocks. The TSX sub-index was up 2.45%, thanks to gains from Rogers Communications and Rogers Wireless. This despite the fact Rogers Communications’s second-quarter profit was reduced by 90% to $5.5 million and its subsidiary Rogers Wireless was off by 6% at $53.9 million.

The TSX’s technology sub-index was ahead by 1.7%, aided by a 24¢ jump in Nortel Networks Corp. shares to $5.90. Also making gains were: energy shares, ahead 1.12% as the price of crude oil for September delivery increased 21¢ to US$40.65 a barrel on the NYMEX; and financials, up 0.45%, with help from the Royal Bank of Canada — it gained 35¢ to $61.10 as more than 1.3 million shares traded hands.

As was the case Tuesday, the most active TSX stock was Air Canada, which was down 27¢ or 38.5% to 43¢. More than 14.5 million shares were exchanged.The drop follows Tuesday’s 35¢ fall set off by an announcement from chief executive Robert Milton that anyone who holds fewer than 11,894 shares will get nothing when the stock is delisted on the Toronto exchange this fall.

Overseas, Tokyo’s Nikkei Stock Average of 225 issues was up 175.49 points, or 1.6%, at 11,433.86 and Hong Kong’s Hang Seng Index was up 271.48, or 2.2% at 12,395.11.

London’s FTSE 100 traded up 39.7 points at 4,379.1. The Frankfurt DAX 30 added 1.35%, while the Paris CAC 40 added 1.1%.