By James Langton

(April 23 – 13:00 ET) – Markets opened down with profit-taking on traders’ minds, and stocks have ground slowly lower throughout the morning. At midday, the TSE 300 is down 129 points to 7,970.

Volume is light at 60.4 million shares, with sellers outnumbering buyers seven to four. Losers hold an 11 to seven edge over winners.

Ten of the TSE’s 14 sub-indices are down at midday, with techs leading the way. The industrial sub-index has lost about 4% so far today, but there are also notable losses in media stocks, utilities, conglomerates and financials. Only mines are up notably.

Nortel Networks is leading the way down, off 5.6% on almost 4 million shares. Profit-taking combined with tech sector downgrades from analysts are hurting the stock, and weekend revelations of an SEC investigation into trading of the company’s stock can’t be helping matters.

Nortel has lots of tech company on the downside today. Any name with recent gains in hand seems to be giving them back today. 360networks is down more than 12% in heavy trading. Other losers include JDS Uniphase, Sierra Wireless, Exfo Electro, Celestica, C-MAC, Research in Motion, Cognos, Tundra Semiconductor, GSI Lumonics and Pivotal.

The banks are hurting in the wake of the tough love for tech. Royal Bank is leading the way down, but all the banks are weak. Royal may be getting special attention on the heels of its report that it has suspended a managing director in its brokerage subsidiary as a result of an investigation into possible illegal insider trading. The insurers are also weak, and TD Waterhouse is taking a beating, too.

The upside today is left to some old economy stalwarts. Alcan is leading the miners higher, up 1.6% at midday. Other gainers include Gulf Canada, Bombardier, Toromont, Canadian Hunter, Falconbridge, and Northstar Energy. There’s also some strength in names such as Rogers Wireless, BCE Emergis, MDC, and Enghouse Systems.

In business news, Algoma Steel Inc. has received protection from creditors. The move gives Algoma room to renegotiate its debt arrangements in a bid to avoid bankruptcy.

Wi-LAN Inc. announced that it has agreed to a bought deal offering of 937,500 units at a price of $8 per unit for gross proceeds of $7.5 million. Each unit will consist of one common share plus one half of one warrant. Research Capital Corp. is handling the deal, and it has an option to purchase up to an additional 625,000 units for total potential proceeds of $12.5 million.

In New York, the story is much the same. Stocks are heading lower of profit-taking, with techs leading the way. The Dow Jones industrial average is off 85 points to 10,494. The Nasdaq composite has dropped 99 points to 2,064. The S&P 500 is off 20 ticks to 1,223. A Merrill Lynch downgrade of the semiconductors is helping sell off those stocks.

The CDNX is modestly weak at midday, down just three points to 3,052. Volume is average at 18.9 million shares. Oils are strong, with techs and mines flat. New issue Walloper Gold Resources is the top trader, up 39% to 25¢ on volume of 2.15 million shares.