inflation surprise hits australian shares

So much risk - if the commodity bubble deflates and the AUS$ deteriorates, we'll become another global basketcase.

"Australian stocks fell 0.7 percent after inflation rose faster than expected in the last quarter, reviving the risk of a hike in interest rates and lifting the local dollar to a fresh 29-year high.

Inflation accelerated to 3.3 percent on an annual basis, the fastest pace since late 2008, as food, fuel, health care, education and financial costs all rose."