Australian banks hit record high ahead of key cenbank rate decision
** A sub-index of Australian financial stocks .AXFJ rose 1.2% to a record high of 7,603.3 points ahead of a crucial interest rate decision due later in the day
** Sub-index marks its biggest intra-day pct gain since June 3
** Reserve Bank of Australia will hold its key policy rate for a fifth straight meeting on Tuesday over persistent price pressures, according to all economists polled by Reuters
** Operating in a high interest-rate environment allows banks to earn a higher yield on every dollar they invest, helping boost margins and profitability
** Commonwealth Bank of Australia CBA.AX, National Australia Bank NAB.AX, ANZ Group Holdings ANZ.AX and Westpac Banking Corp WBC.AX advance between 0.7% and 2.0%
** Smaller peers Bendigo and Adelaide Bank BEN.AX and Bank of Queensland BOQ.AX rise 0.4% each
** AXFJ up 11.8% this year, as of last close vs 1.4% increase in benchmark S&P/ASX 200 index .AXJO
Reporting by Roushni Nair in Bengaluru
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