(Adds portfolio manager quote, details, updates prices)
* TSX down 156.15 points, or 1.19 percent, to 13,009.93
* Seven of the TSX's 10 main groups fall
By Fergal Smith
TORONTO, Dec 17 (Reuters) - Canada's main stock index fell
on Thursday as weaker commodity prices following Wednesday's
U.S. Federal Reserve rate hike weighed on energy and mining
stocks, while a wireless acquisition dragged telecom stocks
lower.
Consideration that Fed members have pencilled in 100 basis
points of hikes for next year caused a "backlash," according to
Sadiq Adatia, chief investment officer at Sun Life Global
Investments.
The market rallied on Wednesday after the Fed raised
interest rates for the first time in more than nine years,
removing uncertainty as to when the first hike was going to
happen.
The materials group fell 3.7 percent as Fed tightening
weighed on metal prices.
Barrick Gold Corp ABX.TO fell nearly 8 percent to C$9.69,
while Goldcorp Inc G.TO was down 6.6 percent at C$15.26.
Gold futures GCc1 fell 2.5 percent to $1,051.90 an ounce.
GOL/ and copper prices CMCU3 declined 1.4 percent to $4,545
a tonne. MET/L
The telecom sector fell 3.2 percent after Shaw
Communications Inc SJRb.TO said it planned to jump into
wireless with a C$1.6 billion bid for recent entrant Wind
Mobile.
Shaw fell 7.7 percent to C$24.90 as investors fretted about
how it would finance the deal, while its main rival in Western
Canada, Telus Corp T.TO , lost 6.7 percent to C$37.92 on an
expectation of intensified wireless competition.
The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE settled down 156.15 points, or 1.19 percent, at
13,009.93, with seven of the index's 10 main groups in negative
territory.
Energy stocks fell 0.9 percent as oil prices approached
multiyear lows. O/R
TransCanada Corp TRP.TO fell 3.3 percent to C$46.56. The
company increased the estimated cost of its Energy East crude
oil pipeline by 30 percent to C$15.7 billion as it filed an
amendment to its application with Canadian regulators.
There is scope for bargain hunting in the energy sector,
according to Sun Life's Adatia, but "we want to play that longer
term and be patient."
U.S. crude CLc1 prices settled at $34.95 a barrel, down
1.60 percent, while Brent crude LCOc1 lost 1.3 percent to
$36.90. O/R
Financials fell 0.4 percent.
Among the gainers, Canadian National Railway Co CNR.TO
rose 1.1 percent to C$77.61, while Fairfax Financial Holdings
Ltd FFH.TO was up 2.7 percent at C$646.89.