Global signals are mostly negative for North American stock markets on Wednesday as oil prices remain at record highs.

Oil closed above US$100 a barrel for the first time Tuesday. In premarket electronic trading today, crude on the New York Mercantile Exchange fell 99¢ to US$99.10 per barrel.

Here at home, the Canadian dollar opened at US98.54¢, up about one-fifth of a cent after losing almost a full U.S. cent Tuesday on a benign inflation report.

In today’s economic news, non-residents invested $1.2 billion in Canadian securities in December, largely equities, Statistics Canada said.

Meanwhile, Canadian investors acquired $1.9 billion worth of foreign securities, adding equities and further reducing debt instruments.

South of the border, U.S. consumer prices rose 0.4% last month, while “core” CPI, which excludes volatile food and energy prices, advanced 0.3%. The data exceeded Wall Street forecasts.

The U.S. Labor Department said consumer prices rose 4.3% on a year-over-year basis, matching the biggest increase since September. The core CPI grew a more modest 2.5% compared to January 2007, but that was still the highest annual rate since last March. Over the past three months, core inflation has risen at a 3.1% annual rate

Meanwhile, U.S. home starts increased 0.8% in January.

In today’s earnings news, Tim Hortons Inc. is boosting its quarterly dividend 28.6% after fourth-quarter profit jumped 11.5% to $75.7 million, from a year-ago $67.9 million.

P&C insurer ING Canada Inc. said it is hiking its quarterly dividend 14.8% and planning a stock buyback, even as fourth-quarter earnings dropped 12% to $95.8 million on investment losses.

Overseas, Japan’s Nikkei stock average closed down 3.25%.

In afternoon trading, Britain’s FTSE 100 dropped 1.38%, Germany’s DAX index lost 1.23% and France’s CAC-40 fell 1.11%.

Surging oil and gold issues propelled Toronto stocks higher Tuesday, while the financials group remained flat after BMO announced $490 million in charges related to the U.S. credit market.

The S&P/TSX composite index closed up 220.98 points, or 1.67%, to end at 13,447.74.

Shares in Bank of Montreal lost 3¢, or 0.06%, to close at $53.80, after the bank announced it will take $490 million dollars in charges related to certain trading activities and structured credit-related positions. BMO expects the charges taken in the quarter to lower first quarter earnings per share by approximately 70¢.

Manulife shares gained 41¢, or 1.10%, closing at $37.71, after it announced its subsidiary, Hancock Timber Resource Group, is adding to its U.S. forest land holdings in a deal valued at US$1.71 billion.

The junior S&P/TSX Venture composite index moved up 37.61 points, or 1.46%, to close at 2,622.60.

In New York, market gains were erased late in the day as oil prices rose above US$100 a barrel.

The Dow Jones industrial average dropped 10.99 points, or 0.09%, to end the session at 12,337.22.

The S&P 500 closed down 1.21 points, or 0.09%, at 1,348.78.

The tech-heavy Nasdaq composite index fell15.60 points, or 0.67%, to finish at 2,306.20.