Tag Archives: coronavirus pandemic

World Bank tells G20: Pandemic threatens food security of poor nations

By Andrea Shalal

WASHINGTON (Reuters) – The poorest countries in the world face food insecurity and malnutrition due to the coronavirus pandemic, a drop in foreign exchange earnings, export restrictions and the breakdown of supply chains, a senior World Bank official said on Tuesday.

Mari Pangestu, the World Bank’s managing director for development policy, underscored the need for global cooperation to avert food crises in the most vulnerable countries in remarks to an online meeting of agriculture ministers from the Group of 20 major economies.

“Refrain from imposing export restrictions and avoid unnecessary import barriers and build up of stocks,” she said, adding that global grain production and stocks were at near all-time highs, making restrictions unnecessary.

Pangestu told the ministers that concerted national actions, international cooperation and additional funding to shore up agricultural production could limit the risks of food insecurity and malnutrition.

“The G20 accounts for a large share of food trade and hence its actions will have significant global impact,” she said, urging G20 countries to ensure that supply chains for food continue to flow and to prioritize food and food-supply logistics as essential.

Food security emerged as a growing concern during last week’s virtual meetings of the World Bank and the International Monetary Fund with finance ministers from around the world.

In addition to the pandemic, which has triggered the deepest recession since the 1930s, the worst locust plague in decades is decimating millions of hectares of crops as it spreads across Africa, the Middle East, North Africa and South Asia.

Locust swarms have infested 23 countries, according to World Bank data. They have torn through large swathes of food crops in the Horn of Africa, where more than 24 million people are already “food insecure” and 12 million people are internally displaced, the Bank said in a recent blog posting.

The Food and Agriculture Organization of the United Nations estimates that 821 million people, or nearly 11% of the world population, are undernourished, the highest rate since 2011.

Pangestu said the Bank, which is making $160 billion available to respond to the pandemic over the next 15 months, is working closely with countries and international partners to monitor food supplies, and how the loss of income is impacting people’s ability to buy food.

She said it was critical to leverage community-based groups to distribute food, and implement social protection programs for the world’s poorest. Digital technologies could also help monitor harvest conditions and link producers with consumers.

Up to 80% of the workforce in some of the poorest countries are both producers and net consumers in the agricultural and food sectors, she said, underscoring the need to make food supply a priority.

“Let’s not repeat what happened in 2008 when trade restrictions amplified world food price spikes and caused 130-155 million more people to fall below the poverty line, especially in the most vulnerable countries,” Pangestu said.

G20 agriculture and food ministers agreed at a virtual meeting on Tuesday that emergency measures to contain the spread of the pandemic must not create “unnecessary barriers to trade or disruption to global food supply chains.”

(Reporting by Andrea Shalal, Editing by Franklin Paul and Paul Simao)

U.S. appeals court lets Texas curb medication abortions during pandemic

By Andrew Chung

NEW YORK (Reuters) – A U.S. appeals court on Monday allowed Texas to enforce curbs on medication-induced abortions as part of the Republican-governed state’s restrictions aimed at postponing medical procedures not deemed urgent during the coronavirus pandemic.

The New Orleans-based 5th U.S. Circuit Court of Appeals threw out a federal judge’s order blocking the state from applying restrictions to abortions induced through medication, in the early stages of a pregnancy. About half of all abortions in the state are performed through medication, which involves taking two pills by mouth.

The judge had also prevented the state from banning surgical abortions for women who would be past the legal limit for the procedure by the time the coronavirus-related emergency order is set to expire, at the end of the day on Tuesday. The 5th Circuit allowed that portion of the judge’s order to remain in effect.

Texas is one of several conservative states that have tried to impose limits on abortion during the pandemic, saying they are seeking to ensure that medical resources including protective equipment are available to help healthcare facilities cope with people with COVID-19, the respiratory disease caused by the virus.

Abortion rights advocates have accused the states of political opportunism by using the pandemic to advance anti-abortion policies.

The abortion providers – including Whole Woman’s Health and Planned Parenthood – sued Texas on March 25, calling the restrictions a violation of the right to abortion under the U.S. Constitution as recognized by the U.S. Supreme Court in its 1973 Roe v. Wade decision.

The abortion providers said medication abortion should not be halted because it is not a procedure at all and does not require the use of protective equipment.

The state disputed that contention, saying that medication abortion is a procedure and that protective equipment is used as part of the physical exams and follow-up exams or if there are complications requiring an emergency room visit.

In Monday’s ruling, the 5th Circuit said that in blocking the state’s actions to postpone abortions during the pandemic, U.S. District Judge Lee Yeakel in Austin usurped the state’s authority “to craft emergency public health measures.”

(Reporting by Andrew Chung in New York and Lawrence Hurley in Washington; Editing by Will Dunham)

Congress feuds as deal still elusive on small business coronavirus aid

By Doina Chiacu and Susan Cornwell

WASHINGTON (Reuters) – U.S. Democrats and Republicans feuded on Monday over who was responsible for delay even as they worked on details of a possible $450 billion-plus deal to provide more aid to small businesses and hospitals hurt by the coronavirus pandemic.

“We could have been done yesterday, but the Democrats continue to hold up, even though we had agreed to all the numbers,” Representative Kevin McCarthy, House of Representatives minority leader, told Fox News.

President Donald Trump said on Sunday that Republicans were “close” to an agreement with Democrats, who have the majority in the House, and suggested there could be a resolution on Monday.

But there was no immediate deal on Monday morning, and the two parties took shots at one another over the holdup.

“How many more millions of (House Speaker Nancy) Pelosi’s layoffs will we have to endure before she will put people before politics?” McCarthy wrote on Twitter Monday.

Pelosi spokesman Drew Hammill shot back that Democrats, who have the majority in the House, have given notice that there could be floor action on a bill as soon as Wednesday.

The legislation “could pass by unanimous consent in the House tomorrow, but you cannot control your members who want a recorded vote,” Hammill said in comments aimed at McCarthy. “The delay will be on your end @GOPLeader.”

Representative Thomas Massie, a Republican, sought a recorded vote the last time the House passed a $2.3 trillion coronavirus relief package, and has warned he may seek to block future bills from passing without a roll call vote.

Pelosi on Twitter lamented the “staggering” coronavirus death toll numbers, which have crossed 40,000 in the United States.

Representative Lee Zeldin, a Republican member of the House, said on Fox News that a bipartisan deal was looking good that would include $310 billion for a small business aid program established last month as part of the $2.3 trillion coronavirus economic relief plan.

That fund, aimed at helping small businesses keep workers on their payrolls during the economic slowdown brought on by the pandemic, has already been exhausted.

Zeldin said there would be at least $50 billion more for a separate small business loan program under the deal still under negotiation. A Democratic source familiar with the talks has said this figure was more likely to be $60 billion.

“I believe that there is a deal coming,” Zeldin said.

The Democratic source, speaking on condition that he not be named, said some $60 billion of the $310 billion was likely to be set aside for minority and rural businesses.

The Democrats also sought more funds for state and local governments and hospitals, as well as food aid for the poor. Republicans have strongly resisted these proposals, although Trump said Sunday he favored more aid for state and local governments and said that could be done at a later date.

Republican Senator Bill Cassidy said aid for states and municipalities will not be included in the package now being negotiated. Cassidy, whose home state of Louisiana has been among those hit hardest by the pandemic, told reporters on a conference call that he thought it made sense because it will too early to assess the extent of the damage in various states.

“It’s not in this package,” he said.

(Reporting by Doina Chiacu, Susan Cornwell and Patricia Zengerle; Editing by Lisa Lambert, David Gregorio and Jonathan Oatis)

Trump suggests U.S. states re-open economies in three phases in new guidelines

WASHINGTON (Reuters) – Parts of President Donald Trump’s guidelines for re-opening the U.S. economy amid the coronavirus pandemic trickled out on Thursday afternoon, revealing a three-phase plan that could allow some states to begin as early as this month lifting limits meant to contain the disease’s spread.

In the first phase of Trump’s guidelines, to be publicly unveiled on Thursday evening, larger venues like restaurants and movie theaters could operate again with strict social distancing, according to a copy seen by Reuters. Non-essential travel could resume and schools could open their doors again in phase two. In phase three medically vulnerable people could resume public interactions.

The New York Times reported that Trump told governors of states that some could re-open their states by May 1 or earlier. He was also expected to soon announce hiring plans for tracking the disease’s spread, according to the Times.

(Reporting by Jeff Mason, Eric Beech, Lisa Lambert and Tim Ahmann; Editing by Chris Reese)

With cheers, New York nurses greet reinforcements from across the U.S.

NEW YORK (Reuters) – With loud cheers and applause, medical staff at New York’s Northwell Health network greeted 46 nurses on Tuesday who had arrived from all over the United States to reinforce hospitals as they battle the coronavirus pandemic.

U.S. deaths from the novel coronavirus topped 24,000 on Tuesday, according to a Reuters tally. There were nearly 583,000 confirmed cases, over 200,000 of which were in New York state alone.

Treating the large number of patients with COVID-19, the disease caused by the new coronavirus, has challenged hospitals in its U.S. epicenter. They have scrambled to find enough ventilators and other equipment, as well as beds and staff.

Northwell, the largest healthcare provider in New York, said it had contracted medical staffing companies to help it buttress efforts to treat patients at 18 hospitals across New York City, Long Island and Westchester county.

The “clap-in,” with dozens of staff cheering loudly and holding signs saying “Nurses are the heart of healthcare” and “Welcome, healthcare heroes,” was a surprise for the nurses who arrived on Tuesday afternoon for a half-day training session. Hailing from states including California, South Carolina, and Indiana, they are undergoing training in subjects ranging from operating ventilators to dealing with electronic medical records.

“It’s so heartwarming to see so many nurses come from so far away to assist us in our time of need,” said Maureen White, executive vice president and chief nurse executive at Northwell.

About 300 nurses from other areas have been enlisted over the past three weeks, said Launette Woolforde, Northwell’s registered nurse and vice president for nursing education.

Marybella Cole, who had arrived in New York from Lewiston, Idaho, said community was important to her.

“There’s no bigger calling than something like this,” she said.

Raymond Woods said he had left kids and grandchildren behind in Indiana so he could help.

“I have never been more proud to be a nurse. This is by far the most rewarding career I’ve had in my life,” he said.

(Reporting by Andrew Hofstetter; Writing by Bernadette Baum; Editing by Rosalba O’Brien)

U.S. weekly jobless claims blow past 6 million mark

By Lucia Mutikani

WASHINGTON (Reuters) – The number of Americans filing claims for unemployment benefits shot to a record high of more than 6 million last week as more jurisdictions enforced stay-at-home measures to curb the coronavirus pandemic, which economists say has pushed the economy into recession.

Thursday’s weekly jobless claims report from the Labor Department, the most timely data on the economy’s health, reinforced economists’ views that the longest employment boom in U.S. history probably ended in March.

Initial claims for state unemployment benefits surged 3.341 million to a seasonally adjusted 6.648 million for the week ended March 28, the government said. Data for the prior week was revised to show 24,000 more applications received than previously reported, lifting the number to 3.307 million.

Economists polled by Reuters had forecast claims would jump to 3.50 million in the latest week, though estimates were as high as 5.25 million.

“Similar to last week’s unemployment claims numbers, today’s report reflects the sacrifices American workers are making for their families, neighbors, and country in order to slow the spread,” U.S. Labor Secretary Eugene Scalia said in a statement.

The United States has the highest number of confirmed cases of COVID-19, the respiratory illness caused by the virus, with more than 214,000 people infected. Nearly 5,000 people in the country have died from the illness, according to a Reuters tally.

The dollar <.DXY> was little changed against a basket of currencies. U.S Treasury prices were trading higher while U.S. stock index futures pared gains.

GENEROUS PROVISIONS

Applications for unemployment benefits peaked at 665,000 during the 2007-2009 recession, when 8.7 million jobs were lost. Economists say the country should brace for jobless claims to continue escalating, partly citing generous provisions of a historic $2.3 trillion fiscal package signed by President Donald Trump last Friday and the federal government’s easing of requirements for workers to seek benefits.

As a result, self-employed and gig workers who previously were unable to claim unemployment benefits are now eligible. In addition, the unemployed will get up to $600 per week for up to four months, which is equivalent to $15 per hour for a 40-hour workweek. By comparison, the government-mandated minimum wage is about $7.25 per hour and the average jobless benefits payment was roughly $385 per person per month at the start of this year.

“Why work when one is better off not working financially and healthwise?” said Sung Won Sohn, a business economics professor at Loyola Marymount University in Los Angeles.

Last week’s claims data has no bearing on the closely watched employment report for March, which is scheduled for release on Friday. For the latter, the government surveyed businesses and households in the middle of the month, when just a handful of states were enforcing “stay-at-home” or “shelter-in-place” orders.

It is, however, a preview of the carnage that awaits. Retailers, including Macy’s, Kohl’s Corp and Gap Inc , said on Monday they would furlough tens of thousands of employees, as they prepare to keep stores shut for longer.

According to a Reuters survey of economists, the government report on Friday is likely to show nonfarm payrolls dropped by 100,000 jobs last month after a robust increase of 273,000 in February. The unemployment rate is forecast to rise three-tenths of a percentage point to 3.8% in March.

“A rough look at the most affected industries suggests a potential payroll job loss of over 16 million jobs,” said David Kelly, chief global strategist at JPMorgan Asset Management in New York. “The loss would be enough to boost the unemployment rate from roughly 3.5% to 12.5%, which would be its highest rate since the Great Depression.”

Thursday’s claims report also showed the number of people receiving benefits after an initial week of aid jumped 1.245 million to 3.029 million for the week ended March 21, the highest since July 6, 2013.

(Reporting By Lucia Mutikani; Editing by Dan Burns, Chizu Nomiyama and Paul Simao)

Oil falls after U.S. crude stockpiles jump and gasoline demand slumps

By Laura Sanicola

NEW YORK (Reuters) – Oil prices fell on Wednesday after data showed U.S. crude inventories rose last week by the most since 2016 while gasoline demand suffered its biggest weekly drop ever due to the coronavirus pandemic.

Crude inventories <USOILC=ECI> rose by 13.8 million barrels last week, the U.S. Energy Information Administration said. That was the biggest one-week rise since 2016, and analysts expect similar reports in coming weeks, as refineries curb output further and gasoline demand continues to decline.

West Texas Intermediate (WTI) crude <CLc1> fell 29 cents, or 1.5%, to $20.19 a barrel by 1:30 p.m. ET (1730 GMT), after hitting a low at $19.90.

June Brent crude <LCOc1> fell $1.45, or 5.5%, to $24.90 a barrel. The global benchmark fell to $21.65 on Monday, its lowest since 2002, when the now-expired May contract was the front month.

The market has slumped on pledges of higher output from Saudi Arabia and Russia after a supply pact collapsed and the sharp fall in demand because of the coronavirus pandemic. Brent crude fell 66% in the first three months of 2020 – its biggest ever quarterly loss.

“Global inventories will be chock full by mid-May. I think the market can continue to decline further,” said Gene McGillian, a broker and oil analyst at Tradition Energy.

“There’s no signs of reproachment with producers and with further demand destruction we could get another $5 taken from the market.”

U.S. state governments have issued orders trying to halt the spread of the virus, and many residents are staying out of their cars. Gasoline demand fell by the most ever in one week, with products supplied, a proxy for demand, dropping by 2.2 million barrels per day to 6.7 million bpd. That augurs for more refining cutbacks down the road.

“Demand is a disaster,” said Bob Yawger, director of energy futures at Mizuho in New York. “That’s the whole problem here. It’s horrible.”

The bearish mood has been fueled by a rift within the Organization of the Petroleum Exporting Countries (OPEC). Saudi Arabia and other OPEC members have been unable to agree to a technical meeting in April to discuss sliding prices.

An OPEC-led supply deal fell apart on March 6 when Russia refused to cut output further. Saudi Arabia has already begun to boost output, a Reuters OPEC survey showed on Tuesday, and is expected to pump more in April. [OPEC/O]

“It is very unlikely that OPEC, with or without Russia or the United States, will agree a sufficient volumetric solution to offset oil demand losses,” BNP Paribas analyst Harry Tchilinguirian said in a report on Tuesday.

U.S. President Donald Trump on Tuesday said he would join Saudi Arabia and Russia, if need be, for talks about the fall in oil prices.

(Additional reporting by Yuka Obayashi and Alex Lawler; Editing by Marguerita Choy and David Goodman)

U.S. task force to tackle coronavirus market manipulation, hoarding

By Sarah N. Lynch

WASHINGTON (Reuters) – The United States is launching a task force to address market manipulation, hoarding and price gouging related to the coronavirus pandemic, following an order by President Donald Trump to crack down on such crimes.

At the same time, federal law enforcement agencies across the country are prioritizing investigations into an array of coronavirus-related crimes following reports they have surged.

Deputy Attorney General Jeffrey Rosen said among the reported crimes were the targeting of federally-insured Medicare patients with fake tests or unnecessary antiretroviral prescriptions.

“You should be on the lookout for these sorts of schemes,” Rosen wrote in the memo, which was directed to the heads of all the Justice Department’s law enforcement components and all U.S. Attorneys offices.

Other reported crimes included threats of violence to local mayors and robberies of patients and doctors leaving hospitals.

In a separate memo, Attorney General William Barr said the new task force on hoarding and price gouging will be led by Craig Carpenito, the U.S. Attorney for the District of New Jersey.

“We must do the best we can to protect Americans’ rights and safety in this novel and troubling time,” Barr wrote.

Barr earlier this month directed federal prosecutors to prioritize crimes related to the coronavirus outbreak. That initiative required each U.S. Attorney’s office to appoint a designated prosecutor to oversee coronavirus fraud cases.

The coronavirus pandemic has killed more than 660 people in the United States and infected more than 50,000, with some officials warning the crisis could last for months.

Law enforcement officials who specialize in healthcare and drug-related crimes who spoke with Reuters this week said they anticipated rising crime as fraudsters seek to capitalize on people’s fears about the outbreak.

Marking its first coronavirus case, the Justice Department revealed on Sunday it had closed down a website selling non-existent vaccines.

Barr has already launched investigations into the hoarding and price gouging of critical medical supplies, part of actions tied to an executive order by President Donald Trump that authorizes the criminal prosecution of anyone whose purchases exceed reasonable limits.

(Reporting by Sarah N. Lynch; editing by Jane Wardell)