Higher oil prices and a revised earnings forecast from bellwether Nokia Corp. helped lift Canadian markets, while U.S. markets closed mixed on Thursday.

At market close, the S&P/TSX composite index was up 39.14 points or 0.47% to 8393.94, reversing a 20-point decline at noon. The junior TSX Venture Exchange was off 4.31 points or 0.29% at 1506.16.

The Dow Jones industrial average closed down 24.26 points or 0.24% to 10289.1, while the Nasdaq composite index gained 19.01 points or 1.03% to 1869.65 and the S&P 500 index was up 2.11 points or 0.19% at 1118.38.

The Canadian dollar was 0.17 of a cent higher at US77.64¢. Canadian Finance Minister
Ralph Goodale said Thursday morning that Ottawa was committed to maintaining balanced budgets even if spending on health care will increase. Two other bits of economic news, showing a 6% jump in housing prices and higher capacity utilization rates in the second quarter, may also have provided a boost for the dollar.

Technology stocks led the TSX, jumping 2.85%. They were buoyed by a pair of positive earnings outlooks. Nokia raised its sales and profit outlooks for the current quarter. The Finnish maker of cellular phones cited stronger demand for multi-function mobile devices. Meanwhile, Texas Instruments Inc. said it expected its third-quarter earnings to come in above the middle of its previous estimate range. The chipmaker also warned that sales could fall below its past outlook due to low demand.

Big gainers among tech stocks included Nortel Networks Corp., which jumped 20¢ or 4.21% to $4.92 on volume of more than 8.9 million shares. The telecommunications equipment maker vowed to continue to drive down its costs, setting a target below 25% of revenues. Geac Computer Corp. Ltd. shares climbed 27¢ or 3.36% to $8.30 after the software maker delivered solid results in what is typically a seasonally weak first quarter. Volume was more than 576,000 shares.

Energy stocks also advanced, gaining 0.84% as oil prices topped the US$44 per barrel mark. A barrel of light crude was quoted at US$44.33, up $1.56 cents, on the New York Mercantile Exchange. Suncor Energy (up 56¢ 1.52% to $37.51) and Canadian Natural Resources (up 77¢ or 1.83% to $42.77) were among the biggest movers.

Financial stocks fell 0.06% as a whole. Finance Minister Ralph Goodale Thursday a long-awaited paper on bank mergers expected by late summer will be delayed because of the government’s health-care agenda. Most of the major banks were either flat or traded lower.

In New York, the jump in oil prices and a disappointing wholesale inventories report offset a sharp drop in initial unemployment claims, keeping stocks mixed in light trading.

There was good news from the U.S. Labor Department, which said there were 319,000 new job claims for the past week, down 44,000 from a week ago. It was the lowest level of first-time claims since July. However, a Commerce Department’s report on wholesale inventories showed an increase of 1.3% in July, double what economists had expected. Wholesale sales rose by only 0.5% — a sign business and consumer spending has trailed off and more products are sitting in warehouses.

The economic data will likely weigh heavily on the Federal Reserve as it prepares to meet Sept. 21 to discuss another hike in the nation’s benchmark interest rate, which currently stands at 1.5%.

Among the most active stocks on the Dow were Nokia, which jumped $1.06 cents 8.34% to US$13.77, and Texas Instruments, which gained $1.94 or 10.3% to US$20.77. Other tech stocks traded heavily.

Meanwhile, officials at the Nasdaq Stock Market have asked for a halt to trading from 11 a.m. to 11:01 a.m. on Friday to observe a minute of silence in memory of the victims of the Sept. 11 attacks. Nasdaq will also place commemorative displays on its Marketsite building in Times Square on Friday and Saturday.