* TSX down 0.70 percent at 9,957 points
* Energy sector off 0.81 percent
* Financials down 0.48 percent (Adds details, quote)
By Nina Lex
TORONTO, July 7 (Reuters) - Toronto’s main stock index was lower after a choppy open on Tuesday morning, as the price of oil dropped and put pressure on energy shares, while concerns over the global economy also weighed.
The energy sector was down 0.81 percent as the price of oil fell to around $63 a barrel. Petro-Canada PCA.TO shares were down 1.9 percent at C$38.65 while Suncor (SU.TO) sank 1.46 percent to C$30.40.
Investor fears about the speed of the global economic recovery weighed on bank shares and pulled the financial sector down 0.48 percent.
“Investors are quite cautious about the future and obviously about the American situation,” said Sal Masionis, stockbroker at Brant Securities.
“I think what happened in California is still overhanging this market.”
Last week California Governor Arnold Schwarzenegger declared a fiscal emergency for the government of the most populous U.S. state to force lawmakers into a special session to tackle a $24.3 billion budget gap. [ID:nN01510100]
At 10:49 a.m. (1449 GMT), the S&P/TSX composite index .GSPTSE was down 70.41 points, or 0.70 percent, at 9,957. Nine of its 10 main groups were lower.
Steady gold prices helped ease the TSX’s slide with seven of the index’s top 10 most influential advancers being gold companies.
“There’s a little bit of rebound in some of the commodities, which have been disseminated in the last few days,” said Masionis.
$1=$1.16 Canadian Reporting by Nina Lex; editing by Rob Wilson