Japan CDS market calms down ahead of holiday

Lack of firm details with regards to the country’s expected banking reforms is also keeping the market subdued after some aggressive protection buying in the past week. Continued concern over the credit quality of Japanese banks and companies amid plummeting stock prices has encouraged many participants to buy credit protection since last week, causing swaps spreads to widen.

The recent appointment of Heizo Takenaka as Financial Services Agency (FSA) minister and the setting up of a bank res

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