(Adds analysts' comments, updates prices to close)
* TSX ends down 96.60 points, or 0.68 percent, at 14,134.46
* Seven of TSX's 10 main groups fall
By Alastair Sharp
TORONTO, July 7 (Reuters) - Canada's main stock index fell
on Thursday as gold miners retreated following their sharp rally
since Britain's vote to leave the European Union and as a
reversal in oil prices weighed on energy companies.
The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE ended down 96.60 points, or 0.68 percent, at
14,134.46.
Its energy group fell 1.5 percent, reversing earlier gains,
as oil prices fell to two-month lows after a U.S. weekly crude
draw that disappointed bullish traders. O/R
"People are cautious, people are taking some profits and
waiting to see what happens tomorrow with non-farm payrolls,"
said Ian Makamoto, director of research at MacDougall,
MacDougall & MacTier, referring to U.S. jobs data due on Friday.
Also weighing on the index was its hefty gold mining group,
which pulled back following a steady rise since the Brexit vote
sideswiped financial markets in late June.
The biggest drags on the market included two of the world's
largest producers, with Barrick Gold Corp ABX.TO down 3.2
percent to C$29.08 and Goldcorp Inc G.TO off 2.2 percent at
C$25.50.
The S&P/TSX Global Gold sub-index .SPTTGD had rallied more
than 20 percent since the vote, as investors rushing to buy
bullion amid economic uncertainty pushed the metal to a two-year
high. GOL/
"The gold commodity itself should be able to lift as time
progresses," said Sid Mokhtari, a market technician at CIBC
World Markets.
The materials group, which includes precious and base metals
miners and fertilizer companies, lost 2.3 percent.
Seven of the index's 10 main groups ended in negative
territory.
Seven Generations Energy Ltd VII.TO advanced 7.1 percent
to C$26.89 after agreeing to buy some Deep Basin oil and gas
properties from Paramount Resources Ltd POU.TO .
Paramount advanced 8.5 percent to C$11.87.
The heavyweight financial sector slipped 0.2 percent.
Canada's banking regulator said it was tightening oversight
of mortgage lending, citing concerns about record household debt
levels and a sharp jump in house prices in some markets.
The value of Canadian building permits issued in May dropped
1.9 percent from April, in part due to sharply weaker
construction intentions in energy-producing Alberta, Statistics
Canada said.
The pace of purchasing activity in Canada picked up in June
as measures of employment and inventories jumped, according to
Ivey Purchasing Managers Index data.