Stocks are facing another directionless day, despite rate cut news in Canada.

The Bank of Canada cut interest rates by 25 basis points this morning, as expected. The move was widely anticipated, and priced into the market, but the bank’s statement was a little gloomier than in the past.

Stocks don’t have much momentum. Corporate crosswinds and a lack of compelling economic news is keeping investors in check, as is the prevalence of vacations this week. Chip stocks are looking up a bit after Texas Instruments says it sees signs of a turnaround.

In Europe, stocks are mixed. Semiconductor stocks are down following a report that showed that global sales of chipmaking equipment dropped sharply in June. But on the other hand, Bayer AG is up about 5% on hope that it may sell its drug business for US$15 billion or more. The euro weakened again as traders jockey for position ahead of the European Central Bank’s call on interest rates on Thursday.

In London, the FTSE is down 12 points to 5,460. In Paris, the CAC 40 is up 11 points to 4,917. Germany’s DAX is off six ticks to 5,401.

Overnight in Asia, stocks were also mixed. Japan was weakened by the news that its unemployment rate rose to a record 5% in July. In response, the Nikkei fell to a 17-year low, dropping 86 points to 11,189. Nevertheless, in Hong Kong the Hang Seng gained 66 points to 11301.

In M&A news, Vivendi Universal SA is selling a French publishing unit to Cinven Ltd. for US$1.8 billion, to fund its own acquisition of Houghton Mifflin Co.