ASX 200 LIVE: ASX rallies to record high as CBA, banks pace gains

The Australian sharemarket reached a record closing high for the second time this week. This rise was driven by gains in bank stocks and rate-sensitive sectors. The increase followed an unexpected rise in the unemployment rate to 4.3%, which strengthened market expectations that the Reserve Bank of Australia (RBA) will cut interest rates next month.

Meanwhile, Car Group shares neared a one-month low following the announcement of its CEO's departure.

Additionally, UBS has forecasted that the RBA will implement interest rate cuts in both August and November.

In other market developments, S&P Global Ratings reaffirmed Meridian Energy's credit rating. ANZ Banking Group observed a softening in the labour market but noted no major alarm bells. However, Schroders cautioned that Australia's positive short-term economic performance masks underlying long-term risks.