Chatham Financial’s Post

On Tuesday, July 2, Fed Chair Jerome Powell told the audience at an ECB conference in Portugal, “Inflation, after pausing in the first quarter, shows signs of resuming its disinflation trend.” ▶ Read more: https://lnkd.in/eQQGTCzy #Inflation #InterestRates Although this is good news in general, Powell noted the Fed wants increased confidence this trend will persist before beginning to loosen its policy. For the last year, the Fed has kept its target rate steady at 5.25%–5.50%. #FederalReserve #EuropeanCentralBank

In our latest Expert Conversation, Matthew Henry, Chatham's Managing Partner and CEO, and Suzy Welch, Professor of Management Practice, NYU Stern School of Business, discuss professional mentorship, authenticity in one's work, and evolving workplace culture. Watch the full video:https://lnkd.in/eaXf2pGm #ExpertConversations #SuzyWelch #WorkplaceCulture #Authenticity #Leadership

May’s personal consumption expenditures data was released last Friday, matching expectations and showing a continued decline in inflation towards the Fed’s 2.00% mandate. Read more: https://lnkd.in/euPKVReH #Inflation #MarketUpdate More surprising data came from consumer spending and income, with personal income higher and personal spending lower than anticipated. Market participants continue to monitor domestic and international geopolitical events for potential impacts on interest rate, foreign exchange, and commodity risk. #InterestRates #Commodities

In the complex world of derivatives, understanding the real cost goes beyond just considering opportunity costs. Learn more: https://lnkd.in/ejBgK-Hy #derivatives #hedging While evaluating potential gains or losses from hedging versus not hedging is important, it’s only a piece of the puzzle. The actual transaction costs involved in entering derivative contracts, which can be hidden and not immediately apparent, can greatly affect the overall cost-efficiency of a hedging strategy. #capitalmarkets

This week, Amol Dhargalkar visited the Bloomberg Surveillance studio to discuss how to approach hedging in the current markets, where he sees near-term risk for corporations, and whether the strong U.S. dollar will continue. Watch the full segment starting at 2:47:00. #bloomberg #hedging #currency #riskmanagement

Rising demand and declining inventories drove oil prices higher for the second straight week, while other economic indicators provided mixed signals of economic strength. Read more: https://lnkd.in/eja6Suvg #MarketUpdate #Corporates #Commodities

Today, the Bank of England kept rates on hold at 5.25%, with few changes to its statement. The decision was described as "finely balanced" for some policymakers, suggesting potential support for a rate cut in August. Read more: https://lnkd.in/eqXgwKsY The European Central Bank cut interest rates this month, the first in nearly five years and the second of the Group of 10 central banks, after Canada’s rate cuts the day before. The ECB lowered its main refinancing rate to 4.25% and the deposit rate to 3.75%. President Lagarde stated that if inflation continues to decline, there may be further rate cuts. #EuropeanCentralBank #BankofEngland #BoE #ECB #MonetaryPolicy #Inflation #InterestRates

Thank you, GlobeSt.com, for the recognition!

Euromoney wrote about the recent increase in M&A activity driving interest in deal-contingent hedging. Benoit Duhil de Benaze (author of Deal-contingent Hedging - https://lnkd.in/ek54hmf3) explained some of those factors, "Some currencies are trading at attractive historical levels and there are markets trading at lower multiples — such as the UK, which has seen increased private market activity." #mergers #acquisitions #hedging #fx #crossborder