It's been a while since the market considered the possibility of a yuan devaluation: after the latest Chinese trade data it's time to start seriously thinking about it once again. Overnight, China reported May trade data which revealed that exports again slowed sharply and missed market expectations, while imports also contracted but modestly beat expectations: *CHINA MAY EXPORTS -7.5% Y/Y IN DOLLAR TERMS; EST. -1.8% *CHINA MAY IMPORTS -4.5% Y/Y IN DOLLAR TERMS; EST. -8.0% {chart} Although it was partly due to base effects, the underlying momentum has clearly slowed after a resilient 1Q. As SocGen notes, the ... (full story)