* TSX up 52.07 points, or 0.35 percent, at 14,899.99
* Index touches its highest since June 2015 at 14,910.99
* Nine of the TSX's 10 main groups were higher
TORONTO, Oct 21 (Reuters) - Canada's main stock index rose to a 16-month high on Friday as shares of energy and materials companies gained ground and investors speculated on a rate cut from the Bank of Canada.
At 11:05 a.m. EDT (1505 GMT), the Toronto Stock Exchange's S&P/TSX composite index rose 52.07 points, or 0.35 percent, to 14,899.99.
It touched its highest since June 2015 at 14,910.99.
Gains for the index came as weaker-than-expected domestic retail sales and inflation data reinforced speculation the Bank of Canada may lower interest rates again, after the bank acknowledged this week it had considered cutting.
The most influential movers on the index included Suncor Energy Inc, which rose 1.8 percent to C$39.47, and Tourmaline Oil Corp, which jumped nearly 7 percent to C$38.93.
Canadian rig contractor Precision Drilling Corp reported a smaller-than-expected quarterly loss, helped by lower operating costs, and raised its capital budget for the year after winning new contracts.
Its shares rose 2.8 percent to C$6.32, while the overall energy group was up 1 percent.
U.S. crude prices were up 0.1 percent to $50.68 a barrel as a stronger U.S. dollar restrained gains.
The commodity-linked TSX was on track for a 2.2 percent gain for the week, helped by a 15-month high on Wednesday for U.S. crude oil. The index has rallied 29 percent since hitting a 3-year low in January.
The materials group, which includes precious and base metals miners and fertilizer companies, added 0.8 percent, led by a 4.2 percent gain for mining company Turquoise Hill Resources Ltd to C$4.18.
A more than 9 percent gain for Celestica Inc to C$15.04 helped push the information technology group 0.5 percent higher, while the heavily weighted financial services sector firmed 0.2 percent.
Consumer staples was the only one of the index's 10 main groups that declined, while the industrials group was barely in positive territory.
Bombardier Inc fell 1.1 percent to C$1.76. The Canadian plane and train maker will shed jobs for the second time this year, cutting about 10 percent of its global workforce over two years as it deepens turnaround efforts at its rail division.
Canadian Trade Minister Chrystia Freeland walked out of talks with a Belgian region holding up passage of a free trade deal with the European Union and is leaving Brussels, a spokesman said. (Reporting by Fergal Smith; Editing by David Gregorio)