Australia shares dip as Wall St falls after Canada shooting

* ASX 200 loses 0.2 percent, set to snap seven sessions of gains

* 75 shares higher, 109 shares down, 15 shares unchanged

* Investors cautious ahead of China PMI (Adds analysis, quotes, stocks on the move)

By Thuy Ong and Naomi Tajitsu

SYDNEY/WELLINGTON, Oct 23 (Reuters) - Australian shares dipped 0.2 percent on Thursday, slipping from one-month highs as Wall Street turned lower following a shooting at the Canadian parliament which unnerved global investors.

A gunman attacked Canada's parliament on Wednesday, with gunfire erupting near where Prime Minister Stephen Harper was speaking, and a soldier was fatally shot at a nearby war memorial, stunning the Canadian capital.

The resource sector reversed the previous session's gains to fall 1.3 percent as copper prices edged lower overnight.

BHP Billiton Ltd and Rio Tinto Ltd (Xetra: 855018 - news) both lost 1.7 percent each, while Iluka Resources Ltd (Other OTC: ILKAF - news) declined 1.3 percent.

Investors were also waiting on a key manufacturing PMI survey from China for clues to growth in Australia's largest export market.

The S&P/ASX 200 index lost 10.5 points to 5,375.4 by 0118 GMT. The benchmark climbed 1.1 percent to post a seventh consecutive day of gains on Wednesday.

"It's getting closer to the holiday season so I think the market will be more cautious, obviously liquidity will start to slow down," said Biyi Cheng, head of Asia-Pacific trading at City Index.

"I think the market will continue to struggle around this level."

The benchmark index lost nearly 6 percent in September, before hitting an 8-month low of 5,122.2 on October 13, but has since rebounded some 250 points, supported by solid data out of the United States and receding worries about global growth.

The healthcare sector helped offset losses with CSL Ltd (Other OTC: CMXHF - news) flat, while Ramsay Healthcare Ltd jumped 2.1 percent.

Boart Longyear Ltd bounced 41.7 percent to 2-month highs of A$0.21 after the struggling drilling services company said it had agreed to a restructuring deal worth up to $352 million with U.S. hedge fund Centerbridge partners to cut debt and lower the risk of a potential default.

"We're seeing a relief rally because I think the alternative to this deal was oblivion for the stock," said Ben Le Brun, a market analyst at OptionsXpress in Sydney.

Leighton Holdings Ltd gained 1.3 percent to two-week highs of A$20.20 after Australia's largest construction firm said underlying profit for the first nine months of the year rose by a fifth.

SAI Global Ltd jumped 5.5 percent to two-week highs of A$3.85 after acquiring exclusive rights to commercial data retrieval and analysis service software Encompass in Australia.

New Zealand's benchmark share index rose around 0.3 percent to 5,298.22, a record intraday high, boosted by gains in dual-listed Australian banks, while growing expectations that domestic interest rates will remain on hold beyond early 2015 also provided support.

AMP climbed 2.76 percent to a two-week high of NZ$5.96, while Westpac rose 1.75 percent to NZ$37.80, its highest since mid-September.

Restaurant Brands rose 1.7 percent to a lifetime high of NZ$3.70, after the operator of fast-food chains including KFC and Carl's Junior burgers reported an 18.6 percent jump in half-year net profit and said it expected full-year profit to rise from the year ended February. (Editing by Jacqueline Wong)