TORONTO (Bloomberg) — Canadian stocks declined for a third day after the US Federal Reserve kept interest rates steady and said inflation is still a threat to the economy.US central bankers also said the us economy is likely to expand moderately. The Fed’s statement disappointed investors who expected the central bank to signal when a rate cut might occur.

Celestica Inc. dragged technology shares lower after the maker of electronics for other companies said revenue and profit may be less than previously forecast. Gains for telephone companies helped limit the market’s loss as BCE Inc., Canada’s biggest phone company, rallied after it boosted its dividend.

“The Fed mentioned a few more pluses and a few more minuses, to the economy,” said Andrew Pyle, head of capital markets research for Scotia Capital in Toronto. “The markets have to consider that if the Fed thinks the economy will expand, would they ever cut rates? A lot of strength in stocks has been predicated on rate cut expectations.”

The Standard & Poor’s/TSX Composite Index fell 19.70, or 0.2 percent, to 12,858.48 in Toronto.

Celestica plunged C$1.34, or 12 percent, to C$9.42 for the worst performance in the S&P/TSX. An index of technology stocks slid 1.9 percent.

Revenue will be in a range of $2.2 billion to $2.25 billion, compared with $2.25 billion to $2.45 billion before, Celestica said in a PR Newswire statement.

Raw-materials stocks fell 1.6 percent and contributed the most among 10 industry groups to the S&P/TSX’s decline.

Gold futures for February delivery dropped 0.5 percent to $631.70 an ounce in New York after the U.S. trade deficit narrowed more than forecast in October, halting the dollar’s slide against the euro and eroding the metal’s appeal as an alternative investment.

Barrick Gold Corp., the world’s biggest bullion producer, retreated 24 cents to C$34.67. Smaller rival Goldcorp Inc. was down 23 cents at C$33.56.

Alcan Inc. lost 77 cents to C$56.98. Larger rival Alcoa Inc. was cut to “underperform”.