By James Langton

(January 24 – 09:15 ET) – Markets look poised to an open higher this morning, with tech shares leading the way, after Compaq Computer Corp., Broadcom Corp. and Siebel Systems Inc. all reported earnings or sales that beat forecasts.

However, traders may be cautious ahead of Federal Reserve Board Chairman Alan Greenspan’s testimony and major economic data releases in the United States tomorrow. There are no major releases in the U.S. today.

In Canada, Statistics Canada reports that the Composite Index dropped by 0.4% in December, it was the first dip for the leading indicator since 1995.

StatsCan also said that for the first time since October 1999, Canadians reduced their holdings of foreign securities, by selling a record amount of foreign bonds, while doing buying a small amount of foreign stocks.

After accumulating $7 billion worth of foreign bonds from January to October, Canadian investors sold off a record $2.8 billion in November. While the purchases in the first 10 months were spread among U.S. treasuries as well as other U.S. and overseas bonds, the selling in November was concentrated in U.S. treasuries. At the same time, foreigners reduced their holdings of Canadian securities, mainly divesting Canadian equities.

Tech momentum is boosting stocks in Europe. In London, the FTSE is up 87 points to 6,301. In Paris, the CAC 40 has gained 57 points to 5,897. The German DAX is up 15 points to 6,737.

In business news, Lucent Technologies Inc. says it is cutting 10,000 jobs. The firm will also take a charge of between US$1.2 billion and US$1.6 billion in the fiscal second-quarter, in an effort to return to profitability.

Strong energy and drug profits are also supporting the old economy companies in the U.S.

In Canada, BCE is reporting its revenue climbed 8% in the fourth quarter and just 9% in 2000. Earnings before interest, taxes, depreciation and amortization jumped 9% in the fourth quarter and 8% in 2000, and cash baseline earnings came in at 40¢ a share in the fourth quarter and $1.81 a share in 2000.

Weyerhaeuser Company announced fourth-quarter earnings of US$194 million, or 88¢ a share, up from 79¢ a share for the same period last year.

Alcan Aluminium Ltd. reports fourth quarter consolidated net income of US$110 million compared to US$193 million in the fourth quarter of 1999 and US$181 million in the previous quarter. For the full year, net income of US$618 million compares to US$460 million in 1999, an increase of 34%.

Inex Pharmaceuticals Corp. says it has transferred all assets relating to its proprietary gene delivery technology into a subsidiary company that will develop and commercialize drugs to fight cancer and inflammatory disease with gene-delivered therapeutic proteins. A separate management team has been recruited to lead the new venture and independent seed capital has been secured.

Overnight stocks were lightly traded in Asia, and not at all in Hong Kong, as Chinese New Year is celebrated. In Japan, the Nikkei closed down 91 points to 13,894.