Canadian stock market continues losses on global economy concerns

Canada's main stock market on Tuesday hit an eight-month low on lingering concerns over the global economy.

Toronto Stock Exchange's benchmark S&P/TSX Composite Index lost 190.68 points, or 1.34 percent, to 14,036.68 points, with most of the eight major sectors in the red. The main index was down 10 percent from its record high set in early September, which makes analysts believe that TSX hits correction territory.

Crude prices dropped to its lowest level since June 2012 Tuesday, sparking the sell-off which dragged down domestic energy producers. The TSX energy sector declined 3.71 percent with Suncor Energy Incorporated down 1.53 percent to 36.10 Canadian dollars, Canadian Natural Resources Limited dropping 4.99 percent to 36.56 Canadian dollars, and Cenovus Energy Incorporated down 1.94 percent to 26.75 Canadian dollars.

Financials, the index's most heavily weighted sector, moved down 1.08 percent. Royal Bank of Canada dropped 1.07 percent to 78. 79 Canadian dollars. Toronto-Dominion Bank shed 1.24 percent to 52. 58 Canadian dollars. Bank of Nova Scotia shares lost 1.13 percent to 67.22 Canadian dollars. Bank of Montreal shares also edged down 0.99 percent to 80.82 Canadian dollars.

A series of dour economic signs from all corners of the globe " are all giving equities ample reason for selling off this morning in a round of safe-haven seeking," was how Scotia Bank's economics team put it in a note to clients Tuesday morning. "There's enough things to be worried about," said economist Ian Nakamoto.

The industrials sector moved down 0.79 percent with Canadian National Railway Company down 1.99 percent to 70.81 Canadian dollars. However, Canadian Pacific Railway Limited has approached CSX Corporation about merging the two North American railroad operators to create a transcontinental carrier worth more than 60 billion U.S. dollars, according to the Wall Street Journal. Canadian Pacific Railway Limited shares increased 0.29 percent to 213.03 Canadian dollars.

The telecom sector decreased 0.73 percent with TELUS Corporation down 1.07 percent to 38.03 Canadian dollars. Rogers Communications Incorporated was also down 1.14 percent to 41.67 Canadian dollars.

The info tech sector went down 0.65 percent with Open Text Corporation down 1.02 percent to 60.08 Canadian dollars. BlackBerry Limited was down 1.76 percent to 10.05 Canadian dollars.

Besides, the metals and mining sector moved up 0.39 percent with First Quantum Minerals Limited up 1.13 percent to 18.81 Canadian dollars. Teck Resources Limited went up 1.44 percent to 18.27 Canadian dollars.

On the currency front, the Canadian dollar Tuesday increased to close at 0.8845 U.S. dollar, compared with 0.8931 U.S. dollar Friday.