Reuters  Canada39;s main stock index fell on Thursday in a broader decline led by mining shares as escalating tensions in the Middle East weighed on the broader market.

The Toronto Stock Exchange39;s SPTSX composite index was down 84.04 points, or 0.35, at 23,917.48.

At least 10 sectors nursed losses on the index, led by the materials sector.

The materials sector lost nearly 1.5 as it tracked gold prices that fell on fading expectations of a hefty U.S. interest rate cut, while copper prices also retreated.

Canada39;s consumer discretionary and real estate sectors were also among the top losers, falling 1.3 and 1.1, respectively.

The energy sector was the only outlier, up 1.8 as oil prices rose on Thursday over concerns that the escalating Middle East conflict could hit crude supply.

Markets watched the developments in the Middle East as the conflict widens in the region, days after Iran launched ballistic missile strike on Israel.

The conflict in the Middle East is heating up, and that seems to be adding to some jitters or conservatism from investors, Josh Sheluk, portfolio manager at Verecan Capital Management.

The escalation is countering the benefit Canadian markets get from higher energy prices, added Sheluk.

Investor sentiment was also weighed by data that showed business activity in Canada39;s services economy hit a sixmonth low in September as firms shed jobs and new business dropped to a near fouryear low.

In the U.S., the weekly jobless claims data for…