North American stocks are expected to rise at the open ahead of today’s U.S. Federal Reserve meeting. Analysts widely expect the Fed will hike interest rates by a quarter-point to 1.5%.

In this morning’s economic news, crude-oil futures eased US15¢ to US$44.69 a barrel a day after Iraq suspended pumping oil to two Persian Gulf export terminals.

In the United States, the Labor Department said nonfarm business productivity grew at a seasonally adjusted annual rate of 2.9% during the second quarter of 2004, the slowest pace in 18 months. Economists had expected a 2% increase in the second quarter.

Overnight in Asia, Tokyo’s Nikkei rose 44.85 points, or 0.41%, to 10,953.55.

In Hong Kong, the key Hang Seng Index lost 59.37 points, 0.47%, to 12,408.04.

On Monday, Toronto stocks held on to minor gains. The S&P/TSX composite index closed up 10.16 points at 8,183.44. The industrial sector slipped 1.49%, largely because of a slide in the shares of CP Ships.

The company’s stock fell $4.68 to $17.07 after the firm restated its profits downward for the last two years and for the 2004 first quarter by up to US$40 million. The company said the implementation of a new accounting system revealed deficiencies.

The junior TSX Venture composite edged down 3.14 points at 1,493.68.

On Wall Street, U.S. stocks closed slightly lower on concern over oil prices.

The Dow Jones industrial average ended down 0.67 points at 9,814. The Dow was up as much as 43 points earlier in the session, after closing at its lowest level in over eight months the prior session.

The tech-heavy Nasdaq composite index finished down 2 points at 1,774 and the S&P 500 (lost 16 points to 1,063.

All three major market indexes closed at new 2004 lows on Friday.

The Fed is expected to raise interest rates a quarter-point to 1.5%.