Japan is Next.

Kyle Bass offers his view of the $1 trillion bailout plan for the PIIGS. It is persuasive and worth reading in full. Bass, like many other investors, thinks that the next country in the cross-hairs is Japan. As one investor said to my brother a month ago, "that's a country that sells more adult diapers than baby diapers."

Bonus link: Why Angela Merkel is sinking like a stone.