Stocks in Toronto finished lower today. Traders were cautious a day ahead of the U.S. Federal Reserve next announcement about interest rates.

The S&P/TSX composite index finished down 82.80 points at 7,581.05. A drop late today dragged the market to its lowest close since February. Financial stocks retreated, despite lingering concern over banking exposure to the telecoms.

All but two of Canada’s top banks have revised their loan-loss provisions because of exposure to the telecommunication sector. Royal Bank of Canada and Bank of Nova Scotia suffered, today, as a result of being the two banks that haven’t made revisions. Royal Bank stock, the largest on the TSX finished down $1.50 at $53.50. Scotiabank fell $1.20 to $52.80.

Oil stocks sank as crude prices dropped as a result of Iraq saying it will resume its oil exports. This ends a month-long embargo protesting Israel’s actions in the Middle East. EnCana Corp. fell $1.25 to $49.00. Suncor Energy dipped $1.95 to C$53.90.

The S&P/CDNX Composite Index closed down 8.15 at 1156.21. Trading was heavy on a volume of 35.9 million shares worth 17.0 million dollars with 186 advances, 237 declines and 599 issues unchanged.

South of the border, stocks sank. The Dow Jones industrial average lost almost 200 points. Of course, investors in the U.S. are awaiting the Fed’s announcement, tomorrow, too.

The NASDAQ composite index fell 34.55 points to 1,578.48. Today was the 12th down day within the last 14 trading sessions. The Dow Jones industrial average fell 198.59 points to 9,808.04, its lowest close since Feb. 19.