Commodity Risk Management

Ensuring an effective, compliant hedging program means assessing both visible and hidden costs across all hedging activities, including strategy and pricing, legal and regulatory, and accounting.

Hotter-than-expected inflation data sent markets reeling, shifting expectations for future rate cuts this year.

The Federal Open Market Committee (FOMC) and the Bank of England (BoE) kept rates steady, while the Bank of Japan and the Turkish Central Bank caught the market’s attention with decisions of their own. Elsewhere, February existing home sales exceeded expectations, and equity indexes hit record...

With market volatility hitting the headlines and the geopolitical landscape seemingly changing every week, risk management is once more at the forefront of every CFO’s mind. One instrument that has become an established part of any financial risk management toolbox is the deal-contingent hedge.

February reports showed the biggest increase in consumer prices in five months, clocking the yearly rate of inflation at 3.20%, the week before the Federal Reserve meets to again consider whether to cut interest rates.

Last week brought updates from across the financial spectrum — Federal Reserve Chair Powell testified before Congress, the Organization of the Petroleum Exporting Countries (OPEC+) announced an extension of production cuts, and there was fresh domestic labor market data.

Despite a miss on durable goods orders, rates were largely unchanged, highlighting the persistent concern over inflation at the forefront of everyone's attention.

In what was a relatively light week on the economic data side, the market looked to the highly anticipated January Federal Open Market Committee (FOMC meeting) minutes for any insight on what the Fed will do next.