TSX hits three-month low on fears about slowing economic growth

Canada's main stock index lost more than 300 points as a big drop in the technology sector drove it to its lowest level in three months on ongoing concerns about slowing global economic growth.

Canada's main stock index lost more than 300 points as a big drop in the technology sector drove it to its lowest level in three months on ongoing concerns about slowing global economic growth.

Giles Marshall, portfolio manager at Fiduciary Trust Canada, says the market has been driven over the last three to six months by macro factors such as monetary policy, inflation, geopolitics and weakening Chinese growth, more so than because of corporate earnings.

"So you've seen this very obvious tug of war between bulls and bears with the TSX trading in a narrow range ... but with a lot of interday and intraday volatility," he said in an interview.

The S&P/TSX composite index closed down for a fifth straight day, losing 321.08 points or 1.5 per cent to 20,690.81. It has dropped six per cent over the last five days and 5.5 per cent so far in April.

In New York, the Dow Jones industrial average was down 809.28 points at 33,240.18. The S&P 500 index was down 120.92 points at 4,175.20, while the Nasdaq composite was down 514.11 points or nearly four per cent at 12,490.74. 

Marshall said there's been a lack of clear overall direction for markets.