Markets are mellow again today, ahead of tomorrow’s all-important decision on interest rates. At midday, the Toronto Stock Exchange 300 composite index is unchanged at 7503. Volume is light at 48 million shares, with sellers holding more than a 2:1 edge on buyers. Market breadth is more even, with losers ahead of winners by just 17:15.

On a sector-by-sector basis, the only big mover is gold. ItÕs down about 2%. Industrials consumer stocks and conglomerates are all sliding too, but the slides are minimal. Miners, transports, utilities and financials are all up.

The top trader today is CP, as it begins its spin-offs. It is down a touch, along with slides in all of the big banks, and tech traders such as Celestica and C-Mac. Nortel Networks is up a penny, but there’s really not
much volume on the upside.

Biotech firm, Isotechnika is the big gainer today. It is joined by Kinross, Geac, Bracknell, Cott and Domtar. Cinram is up 4.4% on news that earnings in its latest quarter weren’t as bad as feared. Ciram International’s second quarter net earnings were $1.0 million or 2¢ per share, compared with net earnings of $3.5 million in the prior year.

On the downside, names such as Research in Motion, QLT, Hemosol, JDS Uniphase, Bombardier and Ballard power are all down notably, with profit worries commanding traders’ attention..

In M&A news, the vultures are circling in several deals that pick over the bones of failed firms. EMJ Data Systems is making an offer to the creditors of SDMS, one of the leading distributors of point of sale and bar-coding equipment in Canada. EMJ Data will be integrating the SDMS offices into its own.

Armtec Limited and ONCAP L.P., Onex’s small-cap fund, has closed a transaction in which ONCAP acquired privately held Armtec from its parent, Vicwest Corporation. Armtec is a manufacturer and distributor of steel and plastic products, and a provider of engineered solutions primarily to the
Canadian civil engineering industry.

In other news, Look Communications is eliminating 125 positions, effective today, as a cost reduction measure and to more closely align with its revised business plan. Look is also continuing discussions with financial institutions and other parties to secure additional sources of financing to finance its revised business plan.

On the earnings front, Centrefund Realty Corp. reports that net earnings for the three months ended June 30, were $4.3 million, or 4¢ per share, basic and diluted, compared with a net loss of $23.8 million in the prior year.

Southward Energy Ltd saw its net earnings increase 400% to $14.6 million (59¢ per share) in the first half of 2001.

In New York, the action is flat ahead of tomorrow’s rate decision. The Dow Jones industrial index has gained 35 points to 10275. The Nasdaq composite index is down one point at 1866. The S&P is up four points to 1166.

The CDNX is off 15 points today to 3072. Volume is on the light side at 11.3 million shares. Miners are heading the way down, but techs and oils are hardly resisting the move.Duncan Park Holdings is the top trader, down 33% to 23¢ on volume of 815,100shares.