*

TSX ends down 0.9% at 24,536.32

*

Posts its lowest closing level since Dec. 19

*

Energy falls 1.8% despite higher oil prices

*

Materials group ends 1.6% lower

(Updates at market close)

By Fergal Smith

Jan 13 (Reuters) - Canada's main stock index fell to a

near four-week low on Monday as a bond market sell-off continued

and investors freed up cash to take advantage of potential

volatility emanating from the expected imposition of U.S. trade

tariffs.

The Toronto Stock Exchange's S&P/TSX composite index

ended down 231.41 points, or 0.9%, at 24,536.32, its

lowest closing level since Dec. 19.

"We're just getting ahead of earnings season, we're getting

ahead of inauguration, there's still a high level of uncertainty

around what's coming next," said Mike Archibald, a portfolio

manager at AGF Investments.

"We have been raising a little bit of cash across the

portfolios and have been doing that for a while just to have dry

powder for when January 20th comes and beyond."

U.S. President-elect Donald Trump is due to take office on

Jan. 20 and has threatened to impose steep tariffs on trading

partners, including a 25% tariff on imports from Canada.

Canada sends about 75% of its exports to the United States,

including oil.

Energy fell 1.8% despite a seven-month high for the price of

oil, with shares of Canadian Natural Resources Ltd down

3.9%.

The materials group, which includes metal mining shares and

fertilizer companies, ended 1.6% lower.

Gold prices dipped as the U.S. dollar soared to a more than

two-year high against a basket of major currencies. The U.S.

10-year yield, a benchmark for borrowing costs globally, touched

a 14-month high.

The utilities sector, which includes many

high-dividend-paying stocks that become less attractive when

bond yields rise, fell 1.2% and technology was down 1%.

"Until you get a cooling in the movement of bond yields, I

think stocks are going to be fairly volatile," Archibald said.