North American markets are posting modest losses Thursday. The S&P/TSX composite index is down just six ticks to 7,095.

Despite the lack of price action, Toronto volume has been rather heavy, with 141.5 million shares changing hands. Volume is almost evenly split between buying and selling, and market breadth is close to even too.

The TSX sectors are split down the middle, with modest gains coming in the health care and techs tocks once again. Energy stocks are giving back some recent gains, and there is selling in materials and golds. Although, nothing is down as much as 0.7%.

Much of the heavy downside volume is coming in troubled Air Canada. It has dropped 30% to just $1.28 on more than 12.2 million shares traded, as investors grapple with its latest negative news.

Bad news at biotech Hemosol also has it taking a 33% whack, down to 83¢ on heavy volume of 2.4 million shares. The stock is taking a hit after the company said it was backing away from a clinical trial.

Abitibi is also under pressure today, it is down more than 7% on huge volume of 6.9 million shares, as traders punish it for cutting its dividend.

EnCana is giving up yesterday’s gains, down 1% in active trading. There is also weakness in Cequel Energy, Gabriel Resources, Compton Petroleum, NCE Petrofund, Canadian Oil Sands. Non-energy losers include BCE, Clublink and O&Y Properties.

Biotechs are really powering the upside today, with Angiotech romping to a 9% gain. It is up on news that its U.S. partner, Boston Scientific is about to file for FDA approval of a drug-coated stent. There is also strong buying in Conjuchem, Biomira and Isotechnika, as this sector gets lots of attention.

Nortel is powering the techs with a 1.2% gain in relatively light volume. Agricore, Alliance Atlantis and Major Drilling are up, too.

Ivanhoe Energy is enjoying another strong rally today, up 14% in heavy trading, on news that it has signed a contract with Boston’s Ensyn Petroleum International to test rapid thermal processing technology to upgrade the quality of heavy oil by producing high yields of lighter, more valuable crude oil. The firm hopes that the process demonstrates that heavy oil can be developed and produced more economically.

In other business news, Rogers Communications has successfully completed a $240 million bought deal to a syndicate of Canadian underwriters. The net proceeds of the offering will be used to cut debt.

Bowater says that it will curtail newsprint and market pulp production at its Thunder Bay mill due to temporary wood fibre shortages in Northwest Ontario. The move will reduce the company’s pretax operating results by approximately US$10 million.

Stuart Energy reports that its loss increased to $34 million in 2003.

In New York, markets have been similarly moribund on news of weak U.S. retail sales. The Dow Jones industrial average is down nine points at midday to 9,174. The S&P 500 is two ticks lower at 995. The Nasdaq composite index is holding up best, with a four point gain at 1,650.

The S&P/TSX Venture index is also higher today, up three points at 1,107. Volume is also strong in the small caps at 19.8 million shares. The day’s top trader is Roseland Resources, which has gained a penny to 19¢ on more than 1.2 million shares.