North American markets tumble amid global slowdown fears

Stocks in Toronto and New York fell sharply Monday, as slumping oil prices flusteredinvestors amid growingfears of a globaleconomic slowdown.

Crude oil futures lost almost fourper cent to settle at $29.69 US a barrel, as a meeting between OPEC producers Saudi Arabia and Venezuela provided little indication that steps would be taken to boost prices.

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• Canada lost 5,700 jobs in January
• Canadian dollar up more than a penny after uptick in oil prices

The benchmark index of the Toronto Stock Exchange got off to a broadly negative start and it didn't improve much. The S&P/TSX composite index closed with a loss of 229points, or 1.8per cent, at 12,535.

The energy,financial and healthgroups wereamong the mainlosing sectors.

The materials group, which includes the gold producers, was the lone advancer. Gold surged$40to $1,198US an ounce an eight-month high. Analysts said bullion was benefiting fromrisk aversion that is sweeping through financial markets.

The Canadian dollar slipped 0.13cents to close at 71.77cents US.

The Dow Jones industrial average, which at one point was down 400 points, ended with a loss of 178points, or 1.1per cent, to 16,027. Technology stocks, financials and energy shareswere among the biggestlosers.

The broader S&P 500 index slid to its lowest level since April 2014, closing at 1,853, down 1.4 per cent.

"Equities are in a 'go-nowhere-fast' mode, with a downward bias in the near term," said Terry Sandven, chief equity strategist at U.S. Bank Wealth Management in Minneapolis.

"We need oil to stabilize to provide some confidence for investors, partly because to a degree, investors' stress is high, earnings visibility is low, and market internals continue to weaken," he said.

Overseas, European shares plunged to 16-month lows on Monday.Germany's DAX index fell3.3per cent, while France's CAC 40 dropped 3.2per cent and the FTSE100 index in London slid 2.7per cent.