(Updates with market opening prices)
By Ragini Mathur
Feb 7 (Reuters) - Canada's main stock index dipped on
Friday in choppy trading as investors evaluated domestic jobs
data, which hit the expectations of the Bank of Canada cutting
interest rates in March.
The S&P/TSX composite index was down 0.1% at
25,500.93.
The benchmark index was largely flat for the week, with U.S.
tariff uncertainty and mixed earnings from major Canadian
companies weighing on the overall market sentiment.
Canada's unemployment rate unexpectedly fell and the economy
posted another solid month of job gains, data showed, signaling
that joblessness was starting to ease.
Following the release of the data, bets for a 25-basis-point
rate cut by the Canadian central bank in March decreased to
54.7% from the earlier 72%.
"What's a good sign for the economy is the private sector
jobs are growing that also means potentially the Bank of Canada
might not have to cut interest rates as much as expected,"
said Colin Cieszynski, chief market strategist at SIA Wealth
Management.
"So, based on that, we're seeing a little bit of a pullback
today in the Canadian market."
Meanwhile, U.S. job growth slowed more than expected in
January, but a 4% unemployment rate probably gives the Federal
Reserve cover to hold off cutting interest rates at least until
June.
On the TSX, communication shares lost as much as
1.3%. BCE Inc ( BCEXF ) was down 4.1%.
The healthcare sector slipped about 1%.
The fall came as shares of cannabis firm Canopy Growth ( CGC )
sank 19.2% after posting a bigger third-quarter loss,
triggering pot stocks Cronos Group ( CRON ) and Tilray Brands
to tumble more than 3% and 4%, respectively.
On the flip side, the energy sector was among the
top winners on the index with a rise of 1%, boosted by higher
crude prices.