It goes without saying that I am extremely skeptical of the Paulson bailout scheme under the funny money regime. Good for Nomura (NMR: 6.76 -7.14%) and Mitsubishi UFJ (MTU: 5.09 -7.12%) for being able to get in on the scavenging, the former, which is said to be buying Lehman’s Asia franchise and the latter which is reported to be taking up to a 20% stake in Morgan Stanley (MS: 12.08 -18.10%). (See clips below from MarketWatch). That said, if the so-called relief rally and bogus bail-out rally come to an abrupt end today in the USA — how can you eliminate short-selling and get excited about a short-lived rally — then expect some profit-taking in Tokyo (from Wednesday, when the TSE reopens after the Autumnal equinox holiday). Beware bottom-fishing with iShares MSCI Japan Index ETF (EWJ: 8.27 -4.50%).

clipped from www.marketwatch.com Bailout rally loses steam Stocks dip as details sink in WALL STREET in CRISIS Another Sunday night bombshell Japan’s MUFG buying up to 20% of Morgan Stanley Global financials Nomura buys Lehman’s Asia franchise Japanese giant snaps up equities and investment-banking operations across Asia, but deal doesn’t include any of Lehman’s balance sheet, according to report.