Australia’s annual pace of inflation eased more than anticipated in June, possibly cooling near-term expectations for an interest rate hike. The consumer price index rose 3.8% in the 12 months to June, down from 4% in May, according to the Australian Bureau of Statistics.

Housing was the biggest contributor to the annual inflation increase, rising 6.8%, with electricity costs up more than 22% from a year earlier following the end of government rebate programs. More expensive building materials and higher labour costs also contributed.