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TSX ends down 0.8% at 22,639.57

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Tech sector declines 2.2%

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BoC cuts policy rate to 4.50%

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Bausch Health ( BHC ) tumbles 23.1%

(Updates at market close)

By Fergal Smith

July 24 (Reuters) - Canada's main stock index fell to a

near two-week low on Wednesday as pressure on high-flying

technology shares outweighed support for the market from the

latest Bank of Canada interest rate cut.

The S&P/TSX composite index ended down 174.18

points, or 0.8%, at 22,639.57, extending its pullback from a

record closing high last week and marking its lowest closing

level since July 11.

"It's largely profit taking ... What you've generally been

seeing over the past few weeks is those stocks that have done

the best now doing the worst," said Joseph Abramson, co-chief

investment officer at Northland Wealth Management.

The S&P 500 and Nasdaq slumped to multi-week lows after

Tesla and Alphabet disappointed with lackluster earnings,

prompting investors to question if the Big Tech- and AI-fueled

2024 equity rally was sustainable in the long run.

The Toronto market's technology sector was down 2.2%, while

heavily weighted financials lost 0.7% and industrials ended 1.3%

lower.

Canadian National Railway ( CNI ) shares fell 3.2% after

the company's second-quarter results missed estimates.

"The moves are countertrend in nature because both monetary

and fiscal policy remain supportive of accelerating growth and

earnings," Abramson said.

The Bank of Canada cut its key interest rate by 25 basis

points for the second month in a row, bringing it to 4.5%, and

said more reductions in borrowing costs were likely if inflation

continued to cool in line with forecasts.

The utilities group, which is dominated by high-dividend

paying stocks which could particularly benefit from lower

interest rates, was one of just two sectors to gain ground,

adding 0.6%.

Bausch Health Companies Inc ( BHC ) was the biggest

decliner, tumbling 23.1%, as the company said it was not

considering a bankruptcy or insolvency proceeding of any kind.