Afternoon Update: RBA governor suggests more share houses; inflation rises; and vapour blasts from a Saturn moon

The RBA’s Philip Lowe suggested the only way to lower housing costs was to reduce aggregate demand, such as through more shared dwellings. Photograph: Mike Bowers/The Guardian

Good afternoon. Inflation increased to 6.8% last month as energy prices jumped, but the easing of underlying price pressures has reduced the chance of another Reserve Bank rate rise in June.

The April rate is higher than the 6.4% pace economists had expected as well as the 6.3% reading for March. However, once volatile items were excluded, the underlying inflation rate, which the RBA watches most closely, eased to an annual clip of 6.5% in April from 6.9% in March.