CANADA STOCKS-Drop in crude oil pulls TSX lower

Fri Sep 11, 2015 10:45am EDT
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* TSX down 94.98 points, or 0.7 percent, at 13,474.91.

* Seven of the TSX's 10 main groups lower

By Leah Schnurr

OTTAWA, Sept 11 (Reuters) - Canada's main stock index fell on Friday as energy shares tumbled alongside the price of oil after Goldman Sachs cut its crude forecast.

Investors were also looking ahead to next week's meeting of the U.S. Federal Reserve, which could prove pivotal if the central bank decides to raise interest rates for the first time in nearly a decade.

The uncertainty over whether the Fed will lift rates next week or wait until later in the year could mean greater volatility in global markets, including Canada.

"The decision that they make next week will be one of the most closely watched decisions in the last couple of years," said Bryden Teich, associate portfolio manager at Avenue Investment Management in Toronto.

"It just adds a little bit of uncertainty for the next week, and I think most people are waiting for cues on what they're going to do to see how things shake out from there."

But the main driver of Friday's trading was the 3.5 percent decline in the price of oil after Goldman cut its 2016 crude forecast due to oversupply and concerns about China's economy. U.S. crude traded at $44.31 a barrel, off $1.62.   Continued...