No one is getting a bailout for last week’s carry trade implosion. (By the way, it might not be necessary for me to say this, but the players who borrowed against the yen were predominantly US and European funds, not Japanese ones.)
if there’s a bank on one side of those trades there’ll be a bailout. If the funds are deemed “too big to fail,” there’ll be a bailout. In other words, if the damage is big enough, there’ll be a bailout.
There always is.