Stocks look a little weaker this morning on a slew of conflicting economic data coming out of the U.S.

The good news is that retail sales beat expectations, rising 0.4% in November. Excluding autos, sales were 0.5% higher in the month. The U.S. current account deficit narrowed to US$127 billion in the third quarter.

Weighing in on the downside, initial jobless claims jumped to 441,000 last week. This is the highest level in eight months, and it repeals several weeks of lower claims. The number highlights the jobless nature of the U.S. recovery.

In Canada, it was reported that car dealers broke monthly sales records for both cars and trucks in October. Manufacturers reported dealer sales of 148,626 new vehicles, up 2.0% from September.

In Europe, stocks are lower following a move by the European CentralBank to cut its growth forecasts. Also, an apparent police investigation of the accounting practices at Vivendi Universal SA isn’t helping. The FTSE is down 56 points to3919. The CAC 40 has dropped 48 points to 3142. The DAX is down 66 ticks to 3130.

Overnight in Asia, stocks were mixed. The Nikkei lost 19 points to 8709. And, the Hang Seng gained 29 points to 9814.

In M&A news, Cognicase Inc. says it has engaged BMO Nesbitt Burns Inc. to act as financial advisor to the Special Committee and the Board of Directors. BMO Nesbitt Burns will assist in evaluating the previously announced takeover proposal and any other proposals the board may solicit or receive.

MDS Inc. is reporting fourth quarter operating income grew 20% from $41 million in the fourth quarter of 2001 to $49 million in the fourth quarter of 2002. Basic earnings per share increased 20% from 15¢ in the fourth quarter of 2001 to 18¢ in the same period this year. Operating income grew to $212 million from $154 million in the prior year.