The panic selling suggests at least a temporary rebound in Japanese stocks as bold bulls jump into the fray and more likely a sustained one if the source of the panic is contained and deemed surmountable.
What Southeast Asian nations and others that may get swept up in the panic must recognize is this: A temporary tightening of credit to defend a currency is infinitely less costly than the price paid for devaluation.
But a temporary guarantee system offers the best chance of stemming the panic, and if it were internationally co-ordinated it would be both more credible and less risky than a collection of disparate national promises.