"The China growth story is starting to unravel," says Deutsche Bank and this - not the Fed - is...

|By:, SA News Editor

"The China growth story is starting to unravel," says Deutsche Bank and this - not the Fed - is behind market skittishness. The PBOC's seeming desire to engineer a squeeze in the banking system is compounding the pressure. While a full-blown financial crisis may be unlikely, there remains a strong chance of a yuan (CNY, CYB) devaluation, says the team. Continuing strength in the greenback should suck even more liquidity out of emerging markets (EEM, VWO, DEM, EMB).