Canada's main stock index closed down almost one per cent in broad-based declines, similar to losses in U.S. stock markets a day ahead of the U.S. Federal Reserve's latest rate decision.

The S&P/TSX Composite Index ended down 193.69 points, or 0.99 per cent, at 19,368.69 after trading as low as 19,246.77 in mid-afternoon trading.

In New York, the Dow Jones industrial average closed down 313.45 points at 30,706.23. The S&P 500 index was down 43.96 points at 3,855.93, while the Nasdaq composite was down 109.97 points at 11,425.05.

The Canadian dollar traded for 74.93 cents US compared with 75.26 cents US on Monday, as August inflation data for Canada came in lower than analyst expectations. 

The November crude contract was down US$1.42 at US$83.94 per barrel and the October natural gas contract was down 3.5 cents at US$7.72 per mmBTU.

The December gold contract was down US$7.10 at US$1,671.10 an ounce and the December copper contract was down a penny at US$3.50 a pound.

-- With files from BNN Bloomberg