Inflation Rate Slows but May Not Stem Interest Rate Rise

Australia's inflation rate has moderated to 3.8 per cent, down from 4 per cent in May, but it may not be enough to stop another interest rate rise by the Reserve Bank of Australia (RBA).

The consumer price index (CPI) growth was at its weakest pace since February before the US strikes on Iran led to a blockade in the Strait of Hormuz.

Housing costs climbed by 6.8 per cent during the last financial year, while education costs rose by 4.8 per cent, contributing to overall services inflation increasing by 4 per cent.