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TSX ends down 0.7% at 22,200.79

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Posts lowest closing level since May 3

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Materials sector falls 1.3%

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Metal prices pull back from record highs

(Updates at market close)

By Fergal Smith

May 23 (Reuters) - Canada's main stock index fell to a

near three-week low on Thursday, with resource shares among the

biggest decliners as commodity prices fell and economic data

fueled worries the Federal Reserve would delay a move to

interest rate cuts.

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

ended down 145.97 points, or 0.7%, at 22,200.79, its

lowest closing level since May 3.

"The entire commodity complex is trading lower due to

hawkish comments from the U.S. Federal Reserve sparking fears

that higher for longer interest rates could hurt global growth

and keep the U.S. dollar elevated," said Brandon Michael, senior

investment analyst at ABC Funds.

On Wednesday, minutes of the Fed's latest meeting showed

U.S. central bank officials still had faith price pressures

would ease, but slowly, due to disappointment over inflation

reading.

Wall Street also fell, even as a strong revenue forecast for

Nvidia ( NVDA ) prompted a surge in its shares.

"We still believe we are in a secular bull market," Michael

said. "You could do exceptionally well if you are in the right

areas of the market and have a little bit of patience."

The materials group fell 1.3% as gold and

copper prices pulled back from recent record highs.

Energy was also a drag, falling 0.5%, as the price

of oil settled 0.9% lower at $76.87 a barrel.

Toronto-Dominion Bank ( MLWIQXX ) shares were down 1.6%. The

bank reported better-than-expected quarterly earnings even as

its U.S segment struggled amid probes related to its anti-money

laundering program.

Canada is due on Monday to shorten the trade settlement

period to one day from two days, keeping it aligned with U.S.

trading. U.S. markets will move to the new standard, commonly

called T+1, on Tuesday, following a market holiday.