diff --git a/doc/src/sgml/libpq.sgml b/doc/src/sgml/libpq.sgml
index d67212b..0bcaeb9 100644
*** a/doc/src/sgml/libpq.sgml
--- b/doc/src/sgml/libpq.sgml
*************** postgresql://%2Fvar%2Flib%2Fpostgresql/d
*** 1020,1026 ****
          </itemizedlist>
          Note that authentication is likely to fail if <literal>host</literal>
          is not the name of the server at network address <literal>hostaddr</literal>.
!         Also, note that <literal>host</literal> rather than <literal>hostaddr</literal>
          is used to identify the connection in a password file (see
          <xref linkend="libpq-pgpass"/>).
         </para>
--- 1020,1027 ----
          </itemizedlist>
          Note that authentication is likely to fail if <literal>host</literal>
          is not the name of the server at network address <literal>hostaddr</literal>.
!         Also, when both <literal>host</literal> and <literal>hostaddr</literal>
!         are specified, <literal>host</literal>
          is used to identify the connection in a password file (see
          <xref linkend="libpq-pgpass"/>).
         </para>
*************** myEventProc(PGEventId evtId, void *evtIn
*** 7521,7533 ****
     used.  (Therefore, put more-specific entries first when you are using
     wildcards.) If an entry needs to contain <literal>:</literal> or
     <literal>\</literal>, escape this character with <literal>\</literal>.
!    A host name of <literal>localhost</literal> matches both TCP (host name
!    <literal>localhost</literal>) and Unix domain socket (<literal>pghost</literal> empty
!    or the default socket directory) connections coming from the local
!    machine. In a standby server, a database name of <literal>replication</literal>
     matches streaming replication connections made to the master server.
!    The <literal>database</literal> field is of limited usefulness because
!    users have the same password for all databases in the same cluster.
    </para>
  
    <para>
--- 7522,7538 ----
     used.  (Therefore, put more-specific entries first when you are using
     wildcards.) If an entry needs to contain <literal>:</literal> or
     <literal>\</literal>, escape this character with <literal>\</literal>.
!    The host name field is matched to the <literal>host</literal> connection
!    parameter if that is specified, otherwise to
!    the <literal>hostaddr</literal> parameter if that is specified; if neither
!    are given then the host name <literal>localhost</literal> is searched for.
!    A host name field of <literal>localhost</literal> will also match
!    Unix-domain socket connections when the <literal>host</literal> parameter
!    equals the installation's default socket directory path.
!    In a standby server, a database name of <literal>replication</literal>
     matches streaming replication connections made to the master server.
!    The <literal>database</literal> field is of limited usefulness otherwise,
!    because users have the same password for all databases in the same cluster.
    </para>
  
    <para>
diff --git a/src/interfaces/libpq/fe-connect.c b/src/interfaces/libpq/fe-connect.c
index bd7dac1..c4d27c4 100644
*** a/src/interfaces/libpq/fe-connect.c
--- b/src/interfaces/libpq/fe-connect.c
*************** connectOptions2(PGconn *conn)
*** 1065,1072 ****
  	}
  
  	/*
! 	 * Supply default password if none given.  Note that the password might be
! 	 * different for each host/port pair.
  	 */
  	if (conn->pgpass == NULL || conn->pgpass[0] == '\0')
  	{
--- 1065,1072 ----
  	}
  
  	/*
! 	 * If password was not given, try to look it up in password file.  Note
! 	 * that the result might be different for each host/port pair.
  	 */
  	if (conn->pgpass == NULL || conn->pgpass[0] == '\0')
  	{
*************** connectOptions2(PGconn *conn)
*** 1094,1108 ****
  			for (i = 0; i < conn->nconnhost; i++)
  			{
  				/*
! 				 * Try to get a password for this host from pgpassfile. We use
! 				 * host name rather than host address in the same manner as
! 				 * PQhost().
  				 */
! 				char	   *pwhost = conn->connhost[i].host;
  
! 				if (conn->connhost[i].type == CHT_HOST_ADDRESS &&
! 					conn->connhost[i].host != NULL &&
! 					conn->connhost[i].host[0] != '\0')
  					pwhost = conn->connhost[i].hostaddr;
  
  				conn->connhost[i].password =
--- 1094,1107 ----
  			for (i = 0; i < conn->nconnhost; i++)
  			{
  				/*
! 				 * Try to get a password for this host from file.  We use host
! 				 * if given, else hostaddr if given; if both are omitted then
! 				 * the search will be for "localhost".  (That's handled inside
! 				 * passwordFromFile.)
  				 */
! 				const char *pwhost = conn->connhost[i].host;
  
! 				if (pwhost == NULL || pwhost[0] == '\0')
  					pwhost = conn->connhost[i].hostaddr;
  
  				conn->connhost[i].password =
*************** passwordFromFile(const char *hostname, c
*** 6385,6398 ****
  #define LINELEN NAMEDATALEN*5
  	char		buf[LINELEN];
  
! 	if (dbname == NULL || strlen(dbname) == 0)
  		return NULL;
  
! 	if (username == NULL || strlen(username) == 0)
  		return NULL;
  
  	/* 'localhost' matches pghost of '' or the default socket directory */
! 	if (hostname == NULL)
  		hostname = DefaultHost;
  	else if (is_absolute_path(hostname))
  
--- 6384,6397 ----
  #define LINELEN NAMEDATALEN*5
  	char		buf[LINELEN];
  
! 	if (dbname == NULL || dbname[0] == '\0')
  		return NULL;
  
! 	if (username == NULL || username[0] == '\0')
  		return NULL;
  
  	/* 'localhost' matches pghost of '' or the default socket directory */
! 	if (hostname == NULL || hostname[0] == '\0')
  		hostname = DefaultHost;
  	else if (is_absolute_path(hostname))
  
*************** passwordFromFile(const char *hostname, c
*** 6403,6409 ****
  		if (strcmp(hostname, DEFAULT_PGSOCKET_DIR) == 0)
  			hostname = DefaultHost;
  
! 	if (port == NULL)
  		port = DEF_PGPORT_STR;
  
  	/* If password file cannot be opened, ignore it. */
--- 6402,6408 ----
  		if (strcmp(hostname, DEFAULT_PGSOCKET_DIR) == 0)
  			hostname = DefaultHost;
  
! 	if (port == NULL || port[0] == '\0')
  		port = DEF_PGPORT_STR;
  
  	/* If password file cannot be opened, ignore it. */