(Updated at 10:10 a.m. ET/ 1510 GMT)

By Ragini Mathur

Dec 10 (Reuters) - Canada's main stock index slipped on

Tuesday, pulled down by telecom stocks, while investors awaited

the Bank of Canada's policy decision later this week where a

large interest rate cut is expected.

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

was down 45.61 points, or 0.18%, at 25,579.81.

At least ten sectors on the index were in red, with capped

communications leading the losses as it fell 1%,

while real estate was down 0.6%.

Information technology bucked the trend and added

0.2%.

"I would say today is a bit of a flat day, (and) don't see

any huge market movers to start," said Allan Small, senior

investment advisor at Allan Small Financial Group with iA

Private Wealth

"All eyes will be on the Bank of Canada tomorrow," Small

added.

The BoC is widely anticipated to cut the policy rate by an

outsized half percentage point on Wednesday. The expectations

jumped after Friday's jobs data showed a sharp rise in the

country's unemployment rate.

Although Canada's annual inflation stands right at the

central bank's 2% target, there are still concerns about its

lukewarm economic growth.

"Not only is the Canadian economy growing slower than the

U.S., but its economy is also much more interest rate

sensitive," said Chris McHaney, executive vice president at

Global X Investments Canada.

The central bank has reduced rates by 125 bps since June,

nearly double that of its southern neighbour, the U.S. Federal

Reserve.

Stateside, investors looked ahead to key U.S. consumer price

index (CPI) data, due on Wednesday, that could possibly

influence the Federal Reserve's interest rate decision next

week.

Bets for a 25-basis-point cut next week stand at over 82%.

Nasdaq outpaced its Wall Street peers on Tuesday,

boosted by rising megacap technology stocks.

Back home, among individual stocks, North West Company ( NNWWF )

rose 3.6% after the food retail and distribution

company reported its third-quarter results.