close up image of stock market data on a computer

Canada’s main stock index posted a triple-digit decline and U.S. markets fell after the Federal Reserve signalled an interest rate cut next month could be smaller than forecast.

The S&P/TSX composite index closed down 152.19 points to 16,371.28.

In New York, the Dow Jones industrial average was down 179.32 points at 26,548.22. The S&P 500 index was down 27.97 points at 2,917.38, while the Nasdaq composite was down 120.98 points at 7,884.72.

The Canadian dollar traded for an average of US75.91¢ compared with an average of US75.79¢ on Monday.

The August crude contract was down US7¢ at US$57.83 per barrel and the August natural gas contract was up US0.2¢ at US$2.29 per mmBTU.

The August gold contract was up US50¢ at US$1,418.70 an ounce and the July copper contract was up US3¢ at US$2.74 a pound.