(Updates throughout with analyst comments, details, market
moves)
* TSX was down 42.94 points, or 0.32 percent, at 13,418.53
* Eight of the TSX's 10 main groups lower
By Solarina Ho
TORONTO, Sept 14 (Reuters) - Canada's main stock index fell
on Monday as investors positioned themselves ahead of the
Federal Reserve decision this week, while commodity prices,
under pressure from the latest tepid data out of China, dragged
on resource stocks.
The Fed had been indicating it planned to hike rates at some
point this year, but recent worries about global growth and
lackluster Chinese economic data have raised the possibility the
U.S. central bank could delay any increase to next year.
"It's mostly red, really. Financials are a little bit
better. 'Will they, or won't they' this week? That's going to be
the dominant theme more than anything else," said John Ing,
president of Maison Placements Canada.
"It looks to us that the markets in next few months will be
increasingly volatile, and that volatility will chase a lot of
investors to the sidelines."
Suncor Energy Inc SU.TO was among the bigger drags on the
index, falling 1.1 percent to C$33.70. The overall energy group
retreated 1 percent, in step with lower crude prices. O/R
Bombardier Inc BBDb.TO , which had soared some 58 percent
last week after Reuters reported the company rejected an offer
by Beijing Infrastructure to acquire a majority or full stake in
its rail unit, gave back 10.8 percent to C$1.66 and was another
top decliner. The industrials group retreated 0.7 percent.
At 11:17 a.m. ET (1517 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE fell 42.94 points, or 0.32
percent, to 13,418.53. Of the index's 10 main groups eight were
in negative territory.
Volatility in commodity prices due to worries over the
Chinese economy, currency swings, economic data, inflation and
deflation, also added to the market's recent uncertainties.
"Until some of these things fall into place, the market will
remain volatile," said Ing. "There's been a change in the
dynamics, and the market's got to absorb these potentially
negative influences."
Other areas weighing on the market included consumer
discretionary stocks, which retreated 0.8 percent.
Partially tempering some of the losses was a 0.2 by
financial stocks, which made up half of the top 10 most
influential gainers.
Bank of Montreal BMO.TO was up 0.8 percent at C$69.50.
Stronger gold miners also tempered some of the losses within
the overall materials group, which was down 0.5 percent.
Goldcorp Inc G.TO advanced 2.4 percent to C$17.16.
Declining issues outnumbered advancing ones on the TSX by
158 to 84, for a 1.88-to-1 ratio on the downside.