CANADA STOCKS-TSX falls as disappointing GDP data adds to investor worries

By Sanchayaita Roy and Sukriti Gupta

April 30 (Reuters) - Canada's main stock index fell on Wednesday, as a contraction in the domestic and U.S. economies intensified investor worries about the fallout from U.S. President Donald Trump's tariff policies.

Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was down 0.9% at 24,648.86 points.

Canada's gross domestic product contracted by 0.2% in February on a monthly basis as activities across mining, oil and gas and construction sectors shrunk.

Meanwhile, the U.S. economy contracted in the first quarter, weighed down by a deluge of goods imported by businesses eager to avoid higher costs due to Trump's trade policy.

"It's (market sentiment) been much more affected by the trade rhetoric over the past month but eventually that's going to matter less and the economic data is going to matter more," said Josh Sheluk, Portfolio manager at Verecan Capital Management.

Trump has argued that his tariffs would eventually lead to a boom in the U.S. economy and that Americans should be patient.

Analysts expect GDP growth to return in the second quarter as the initial deluge of import wanes, but see the economy going back into red by the end of the year.

U.S. private payrolls growth slowed more than expected in April, adding to a series of data that have indicated a grim economic outlook.

Another set of data showed U.S. consumer spending increased solidly in March, but that did little to change economists' views that the U.S. economy had shifted into a lower gear.

On TSX, information and technology .SPTTTK stocks led the losses with a 2.4% fall. Blockchain farm operator Bitfarms BITF.TO dropped 5.7%.

Energy .SPTTEN stocks fell 1.6% as oil prices extended declines and were set for their largest monthly drop in almost three and a half years.

Investors also await results of major U.S. companies, including some of the "Magnificent Seven" members, expected later in the day.