Last week, JGB 5 and 10-year CDSs broke above the 10/21 highs and now look like they could test the 10/4 highs (and beyond?). What do you think, check out the charts. On Friday 11/25, JGB 5Y CDS closed at 135 basis points and JGB 10Y CDS closed at 161 bps (Bloomberg.com data). It is the cost to insure $10 million of Japanese government bonds (100 basis points = 1% per year). And on 11/25, the Japanese 10-year government bond yield completed its "biggest weekly gain since January". Watch Japanese credit data and news. Last week the IMF warned Japan about its debt load and borrowing costs, S&P warned that Japan "may be" close to a downgrade, and yesterday Bank of Japan's Shirakwa warned about the economy. Moody's downgraded Japan's credit rating to Aa3 from Aa2 in August.