On Wall Street, stocks took a sharp downward turn when the minutes of the Federal Reserve’s Dec. 12 policy meeting were released. The market’s recent optimism apparently was shaken by hints that some at the Fed have doubts about the outlook for economic growth.

This morning U.S. retailers disclosed mixed same-store-sales growth in December. Wal-Mart Stores reported a 1.6% rise in sales at stores open at least a year. Costco Wholesale handily beat estimates, but Limited Brands fell well short.

Thursday’s U.S. economic data include weekly jobless claims, November pending home sales and factory orders, and the Institute of Supply Management’s nonmanufacturing index for December.

Here at home, Statistics Canada reported that prices for manufactured goods remained unchanged for a second consecutive month in November, while prices for raw materials increased after three months of significant declines.

StatsCan said prices charged by manufacturers were unchanged from October to November, as downward pressure from declining petroleum prices eased. Lower prices for primary metal products and petroleum products were offset by higher prices for chemical products, fruit, vegetables and feed products and pulp and paper products.

Separately, the government agency reported that foreign-controlled firms in Canada recorded double-digit investment growth in 2006, propelled by investment in mining and oil and gas extraction, retail trade and manufacturing.

Investment by foreign-controlled establishments increased 10.7% to an estimated $53.8 billion in 2006. At the same time, investment by domestic firms rose 7.4% to $153.2 billion.

As well, StatsCan reported that the value of retirement savings of 4.6 million Canadian workers with trusteed pension plans declined during the second quarter of 2006, halting seven consecutive quarters of gains.

Market value of assets amounted to $819 billion, down 2% from the first quarter. The losses reflect the performance of Canadian stocks in the Toronto Stock Exchange for the same period.

The Canadian dollar continued to slide Thursday, opening at US85.16¢, down 0.14 of a cent.

Crude-oil prices rose 5¢ to US$58.37 a barrel ahead of weekly energy supply data.

In earnings news, Constellation Brands, the world’s largest wine maker by volume, posted a 1.1% drop in fiscal third-quarter profit and lowered its fiscal 2007 outlook, citing tough competition in the United Kingdom.

Overseas, European stocks dropped in their first opportunity to react to the Fed statement, with the FTSE 100 losing 0.8% in London.

Japanese stocks rose in the first trading day of 2007, with the Nikkei 225 climbing 0.7%, while the Hang Seng dropped 1.9% in Hong Kong.

Toronto stocks fell heavily Wednesday on weakness in the resource sectors, while the Canadian dollar slipped against its U.S. counterpart.

The S&P/TSX composite index dropped 222.22 points, or 1.72%, to close 12,701.44.

Eight of the 10 TSX main sub-groups were down, with the energy index shedding 3.88% of its value.

The S&P TSX Venture Exchange fell 91.04, or 3.04%, to 2,916.34.

The Canadian dollar hit a nine-month low, closing at US85.30¢, down 0.64 of a cent.

In New York, markets closed higher, but well off earlier gains. Investors took in positive economic news from the manufacturing sector, but that was offset by the release of the minutes of the last Federal Reserve meeting, which seemed to suggest concern over a weakening domestic economy, but without indications of the timing of any rate cut.

The Dow Jones industrial index advanced 11.37 points, or 0.09%, to 12,474.52, the Nasdaq inched rose 7.87, or 0.33%, to 2,432.16, and the S&P500 fell back 1.70, or 0.12%, to 1,416.60.