The negative effect of a stronger Canadian dollar is showing up in Statistics Canada’s latest report on manufacturers’ prices. They climbed 0.2% in September, marking the third consecutive month of increases. However, compared with September 2002, prices are down 2.6%, due to a strong loonie against the weaker U.S. greenback. Otherwise, the Industrial Product Price Index would be up 1.3%.

Lumber and other wood products were up 7.2% from August, reflecting improved demand and a tight supply. Prices for motor vehicles and other transport equipment continued to fall (-0.9%), mainly because of the effect of the exchange rate. Lower prices were also observed for petroleum and coal products (-2%), pulp and paper products (-1%) and electrical and communication products (-0.8%).

In Canadian earnings news, BCE Inc. is reporting a third-quarter profit of 28% to $446 million. CP Ships’ quarterly earnings rose 37% to US$33 million. Ballard Power Systems trimmed its third-quarter loss to US$31.1 million from US$40.2 million a year earlier.

Wall Street futures are negative, despite strong gains on the equity markets yesterday, when investors reacted positively to an announcement by the U.S. Federal Reserve to keep interest rates at historic 45-year lows.

Asian stocks markets closed higher, taking their lead from the Wall Street rally on Tuesday. Tokyo’s Nikkei soared 178.21 points, or 1.69%, to close at 10,739.22. In Hong Kong, the Hang Seng Index added 38.63 points, or 0.32%, closing at 12,130.51.

In Europe at midday, the markets are mixed with London’s FTSE index slipping 0.15%, Frankfurt’s DAX gaining 0.42% and Paris’s CAC 40 rising 0.31%

Yesterday, Toronto’s S&P/TSX composite closed up 54.98 at 7,719.17, helped by a 2.4% gain in the information technology group. Manulife Financial rose $1.04 to $39.34 after reporting a third-quarter profit jump of 21% to a record $396 million. Sun Life rose 72¢ to $32.17 after reporting an increase in its third-quarter profit of 8% to $394 million.

The Dow Jones industrial average surged 140.15 points to 9,748.31. The Nasdaq composite jumped 49.35 points or 2.6% to 1,932.26. The S&P 500 index added 15.66 points to 1,046.79.