(Adds investor quotes and details throughout; updates prices)
* TSX ends down 160.46 points, or 0.8%, at 21,037.07
* Rises 4.8% in October
* Financials fall 1.4%; materials end 1.6% lower
* Imperial Oil declines 7.1%
TORONTO, Oct 29 (Reuters) - Canada's main stock index
retreated on Friday as indications that supply chain disruptions
could weigh on the corporate earnings outlook weighed on
investor sentiment, but the index still notched its biggest
monthly gain since last November.
The Toronto Stock Exchange's S&P/TSX composite index
ended down 160.46 points, or 0.8%, at 21,037.07.
"The setup from overnight trading coming into this morning
was negative based on some of the (U.S.) earnings reports that
we saw," said Allan Small, senior investment advisor of the
Allan Small Financial Group with iA Private Wealth.
Shares of Apple Inc and Amazon.com Inc
dropped after disappointing quarterly earnings and warnings that
supply-chain disruptions could weigh on the current holiday
sales quarter. Wall Street seesawed before closing with modest
The Canadian economy most likely underperformed expectations
in the third quarter amid ongoing supply chain woes and a brutal
drought, official data suggested.
Canadian financial shares fell 1.4%, while the materials
group, which includes precious and base metals miners and
fertilizer companies, lost 1.6%. Spot gold was down 0.9%
at about $1,782 an ounce.
For October, the Toronto market was up 4.8%, as higher oil
prices boosted energy stocks and rising bond yields boosted
prospects for bank profit margins.
"Whenever you have a scenario like that it really bodes well
for the TSX," said Allan Small, senior investment advisor of the
Allan Small Financial Group.
Energy and financials combined account for 45% of the
Toronto market's value.
Imperial Oil Ltd said its third-quarter profit more
than doubled from the prior quarter, boosted by a rally in
global crude prices, higher output and increased demand for
Still its shares fell 7.1%, while shares of construction
company Aecon Group ended 9.5% lower after it reported
(Reporting by Fergal Smith; Additional reporting by Amal S in
Editing by Alistair Bell)