(Updates with analyst comment, details, market reaction)
* TSX falls 108.55 points, or 0.72 percent, to 15,044.09
* Bond selloff, worries about Greece and China weigh on stocks
TORONTO, May 12 (Reuters) - Canada’s main stock index fell sharply on Tuesday, tracking global equities, as volatility in the bond markets and other worries had investors rattled worldwide.
Government bonds sold off again, with benchmark 10-year U.S. Treasuries yields at their highest since mid-November and German 10-year yields rising even more.
The bond moves added to investor anxiety about Greece’s debt troubles and concerns over economic growth in China, which cut its interest rate for the third time in six months over the weekend.
“There’s a lot of uncertainty, and until we get through that period, we’re just going to have to suffer this,” said RKH Investments Chief Operating Officer Rick Hutcheon.
The Toronto Stock Exchange’s S&P/TSX composite index gave up 108.55 points, or 0.72 percent, to stand at 15,044.09. All 10 of the index’s main sectors were mired in negative territory.
Index heavyweight Valeant Pharmaceutical International Inc was the most influential decliner, falling 2.1 percent to C$265.30. Canadian Pacific Railway Ltd followed, sliding 2 percent to C$221.83. Canadian National Railway Co was down just over 1 percent at C$77.55.
The overall healthcare group fell 1.3 percent, while the industrials group was down 1 percent.
The financials group was off 0.6 percent, and the materials group was down 0.6 percent, while energy stocks slipped 0.3 percent. The three sectors combined make up about two-thirds of the index’s weight.
Hutcheon said the market was heading into the summer doldrums after a recent strong run.
“It’s going be a long, grinding summer,” he said.
On the upside, Air Canada, which reported stronger-than-expected quarterly results, was the most influential positive mover. Canada’s largest carrier was up 5.4 percent at C$12.35. (Reporting by Solarina Ho; Editing by Lisa Von Ahn)
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