(Adds commentary, details, market reaction)
* TSX down 312.79 points, or 2.27 percent, to 13,466.65
* All 10 of the TSX's main groups are down
By Solarina Ho
TORONTO, Sept 22 (Reuters) - Canada's main stock index
tumbled more than 2 percent on Tuesday as a sell-off in
commodities walloped resource stocks, leading to
across-the-board declines.
Gold, copper and crude oil prices all fell amid a stronger
U.S. dollar and persistent demand worries, particularly out of
top resource consumer China. The declines sent the index's
materials group, home to resource stocks, sinking 4.3 percent.
First Quantum Minerals Ltd FM.TO sank 10.5 percent at
C$5.64, while Goldcorp Inc G.TO fell 3.2 percent to C$17.02.
The decline also dragged the remaining nine key sectors into
the red, with energy sliding 1.6 percent and financials, which
have considerable exposure to resource companies, retreating 2.1
percent.
Toronto-Dominion Bank TD.TO , fell 2.5 percent to C$51.28,
while Royal Bank of Canada RY.TO declined 2.1 percent to
C$71.61.
At 11:31 a.m. EDT (1531 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE had fallen 312.79 points, or
2.27 percent, to 13,466.65.
All 10 of the index's key groups were mired in negative
territory. Declining issues outnumbered advancing ones on the
TSX by 229 to 16, for a 14.31-to-1 ratio on the downside. The
index had posted two new 52-week highs and 11 new lows.
"This market has done this before. You really don't have to
have a major reason - once the selling starts, it accelerates.
And the buying is the same," said David Cockfield, managing
director and portfolio manager at Northland Wealth Management.
"It's volatility and a tendency for people trying to follow
the market rather than just invest ... they jumped all over the
mining stocks."
U.S. crude CLc1 prices were down 2.9 percent to $45.35 a
barrel, while Brent crude LCOc1 lost 2.0 percent to $47.95.
O/R
Gold futures GCc1 fell 0.9 percent to $1,123 an ounce.
GOL/
Cockfield said if the downward volatility continues, buying
opportunities could present themselves but cautioned "Our view
is if you get caught up in volatility, you're going to lose."