Press August 12, 2025 Crowdfund Insider Quotes Isaac Wheeler on Fed’s Next Rate Move Stabilizing inflation and a likely September rate cut signal banks should revisit options-based hedging strategies. Isaac Wheeler Head of Balance Sheet Strategy July’s CPI numbers landed exactly where markets hoped. Headline inflation was 2.7% year-over-year and core CPI came in at 3.1%, underscoring the continued absence of tariff-driven price pressure. As highlighted by Isaac Wheeler, Managing Director of Balance Sheet Strategy at Derivative Path, in Crowdfund Insider: The benign print should pave the way for a 25-basis-point rate cut in September and suggests we may finally transition from the one-time recalibration cuts of 2024 toward a sustained easing cycle.” He adds: For banks, the implications of this shift are significant. Institutions hedging rising rates have increasingly turned to options-based strategies like collars to minimize potential downside should rates fall.” With inflation stabilizing and a rate cut likely on the horizon, financial institutions are in a position to optimize balance sheet hedging strategies, particularly through option-based collars. 📖 Read the full coverage here: Rate Cut on the Way? CPI About What Expected
