North American markets look set to rise at the open Thursday as earnings season continues. U.S. computer maker Dell is expected to report fourth-quarter earnings of US36¢ a share after the bell today.

In today’s economic news, the U.S. trade deficit narrowed in December due to sharp drop in oil prices. However, the 2004 shortfall hit a record US$617.73 billion.

The U.S. deficit in international trade of goods and services shrank 4.9% to US$56.40 billion in December from a downwardly revised gap of US$59.33 billion in November, the Commerce Department said. The November deficit was previously reported at US$60.30 billion.

Despite three years of a weakening U.S. dollar, the U.S. 2004 deficit jumped 24.4% from 2003.

Here at home, Statistics Canada said Canada’s merchandise trade surplus fell by nearly $300 million to $5.2 billion in December.

The agency said exports finished 2004 on a positive note, reporting 2.6% growth over November. However, imports also rose in December, up 4.0% over November’s revised numbers, led by strong increases in automotive and machinery and equipment products.

Toronto stocks nosed into positive territory at Wednesday’s close after spending much of the day in the red. The S&P/TSX composite index advanced 9.95 points, 0.11%, to end the session at 9,402.63.

The junior S&P/TSX Venture composite index gained 10.54 points, or 0.58%, to finish at 1,823.21. Volume was 97 million shares.

On Wall Street, U.S. stocks slid on Wednesday after a disappointing revenue outlook from Cisco Systems Inc.

The Dow Jones industrial average was down 60.52 points, or 0.56%, at 10,664.11. The S&P 500 Index was down 10.31 points, or 0.86%, at 1,191.99. The tech-heavy Nasdaq composite index ended down 34.1 points, or 1.64%, at 2,052.55.