China and Oil Price Dealing Double Disinflationary Hand

A renminbi devaluation looms and WTI is nearing a 4-month low

Highlights

• A renminbi devaluation looms as deflation momentum builds in China…

• … and more global disinflation is coming from oil, with WTI nearing a 4-month low

• As peers trim guidance, all eyes turn to key retailer earnings next week

• Smaller banks are cutting credit as they bear the brunt of deposit outflows