* TSX ends down 0.4% at 34,969.26
* Energy loses 1.9% as oil settles lower
* Materials group falls 2.7%, tracking gold
* Toromont Industries ( TMTNF ) shares jump 17.1%
(Updates at market close)
By Tharuniyaa Lakshmi and Fergal Smith
TORONTO, June 18 (Reuters) - Canada's main stock index fell
on Thursday as the Federal Reserve's more hawkish stance and the
prospect of increased oil supplies weighed on commodity prices.
The Toronto Stock Exchange's S&P/TSX Composite Index
ended down 155.85 points, or 0.4%, at 34,969.26,
extending its pullback from a record closing high on Tuesday.
* Oil fell to its lowest level since before the start of the
Iran war at the end of February as an interim deal to end
fighting, reopen the Strait of Hormuz and ease sanctions on
Tehran boosted the global supply outlook.
* U.S. crude futures settled 0.25% lower at $76.60 a
barrel, while the energy sector was down 1.9%.
* "You had a two-punch whammy in two sectors that are quite
meaningful in the Canadian market," said Greg Eckel, portfolio
manager of Canadian General Investments. "You've had the price
of oil declining, along with energy stocks and the prospect of
higher rates pressured gold stocks."
* The Fed held interest rates steady as expected on
Wednesday but new projections and comments from Kevin Warsh, who
was presiding over his first meeting as chair, blindsided
traders and led markets to price in a possible hike within
months.
* The materials group, which includes metal
mining shares, lost 2.7%. Gold fell as the hawkish policy
signals from the Fed boosted the U.S. dollar.
* Shares of information technology consulting company CGI
Inc ( GIB ) fell 7.1%, which contributed to the technology
sector declining 2.5%.
* Six of 10 major sectors ended higher, including heavily
weighted financials and industrials, which added 0.5% and 0.9%
respectively.
* Toromont Industries Ltd ( TMTNF ) shares jumped 17.1% after
the Caterpillar equipment dealer announced an update on its
power systems business.