Martin's Feed
Jan 6, 2012
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U.S. recovery now not jobless, only homeless

By Martin Hutchinson
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

The U.S. recovery is no longer jobless – only homeless. Despite the 200,000 jobs added last month and another drop in unemployment, job creation is still slower than in recent recoveries. That’s partly because the weak housing market means few new construction jobs. Still, President Barack Obama can breathe easier.

Dec 30, 2011
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1912ers would find the world strangely familiar

By Martin Hutchinson and Edward Hadas
The authors are Reuters Breakingviews columnists. The opinions expressed are their own.

After a century-long nap, I awoke in 2012. The world is changed, but not utterly.

Dec 29, 2011
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German economy ploughing ahead if euro holds

By Martin Hutchinson
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

The Bundesbank’s forecast of a German economy growing a paltry 0.6 percent in 2012 may be pessimistic. If the euro zone stays in place, its troubles may redound to Berlin’s advantage. The euro will stay weak, while Germany will enjoy a finance cost advantage over its neighbours. Next year may thus see German exports surging and economic growth resilient.

Dec 29, 2011
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New Fed governors may bring new policy solutions

By Martin Hutchinson
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

U.S. President Barack Obama’s new Federal Reserve governors may bring new policy solutions. He may have laid a clever election-year trap by nominating the party-balanced pair of Jeremy Stein and Jerome Powell to the central bank’s vacant posts. Both are well qualified. Moreover, Stein’s views on financial regulation may even help watchdogs like the Fed to prevent future MF Globals from emerging.

Dec 16, 2011
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EEA could be right place for UK in Europe

By Martin Hutchinson
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

David Cameron’s veto of the new EU fiscal arrangements should reopen the debate on the UK’s relationship with the EU. Euro zone membership is politically inconceivable but unless the tone of the debate changes it is likely to be treated by other members as a pariah or even a traitor. There is an alternative – the European Economic Area.

Dec 14, 2011
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Bernanke birthday brings holiday from new stimulus

By Martin Hutchison
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

To celebrate Chairman Ben Bernanke’s birthday on Tuesday, the Fed gave the world no new stimulus. With U.S. unemployment down in November to 8.6 percent and fourth-quarter growth forecasts revised upwards, the central bank’s latest statement zeroed in on global problems, particularly in Europe. More notably, it didn’t introduce a “QE3” program of further Treasury bond purchases. Under such conditions, and with money supply strong, Bernanke’s gift of low rates to markets may expire by the time he turns 59 in December 2012.

Oct 12, 2011
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Rebellious echoes

By Martin Hutchinson
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

The Occupy Wall Street protesters may not know much about Coxey’s Army. But like the current demonstrations, Jacob Coxey’s 1894 March on Washington occurred after a period of economic turmoil that increased inequality and followed a crash of the financial system. Mr. Coxey failed, but his demands of stimulus spending and printing money became the standard response to recessions. Occupy Wall Street should be so lucky.

Oct 7, 2011

BREAKINGVIEWS: U.S. jobs data confirm economy is muddling along

(The author is a Reuters Breakingviews columnist. The opinions expressed are his own.)

By Martin Hutchinson

NEW YORK (Reuters Breakingviews) – It looks as though the U.S. economy is muddling along rather than relapsing into recession. The jobs increase of 103,000 in September beat expectations but wasn’t enough to cut long-term unemployment, which increased. Still, alongside positive manufacturing data, it suggests the outlook is for slow, patchy growth, not a double-dip.

Oct 7, 2011

Apple effect far greater than $350 bln market cap

(The author is a Reuters Breakingviews columnist. The opinions expressed are his own.)

By Martin Hutchinson

NEW YORK (Reuters Breakingviews) – Steve Jobs leaves behind a company with a huge $350 billion market capitalization, but it is actually much bigger than that. Apple, which Jobs co-founded and ran through most of its history, has changed the world several times.

Oct 4, 2011
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U.S debt jubilee would not rev up growth

By Martin Hutchinson
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Good ends do not justify bad means. That philosophical observation applies to proposals for a big American debt jubilee which are now doing the rounds. The idea is to slash U.S. consumer debts –- an admirable aim for an overleveraged nation. Household debt is still 90 percent of GDP, down only modestly from the 2008 peak of 100 percent. But even bank-haters should recognize that this cure would be worse than the disease.

    • About Martin

      "Martin Hutchinson is a Reuters Breakingviews columnist and writes about emerging markets, particularly in Latin America, and monetary and macroeconomic issues. He is a former merchant/investment banker with 27 years of experience."
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