Fauci doesn’t think U.S. will have to go back into “shutdown mode”

NEW YORK (Reuters) – Top U.S. infectious disease official Anthony Fauci said on Wednesday that he doesn’t think the United States will have to go back into “shutdown mode” in order to contain the spread of COVID-19.

“We can do much better without locking down,” Fauci, the director of the National Institute of Allergy and Infectious Diseases, said at an event hosted by Harvard University. He said Americans should wear masks, keep physically distanced, shut down bars, wash their hands and favor outdoor activities over indoor ones in order to help stop transmission of the virus.

(Reporting by Michael Erman; editing by Diane Craft)

Convalescent plasma lowers COVID-19 death risk; exposure to common cold may limit disease severity

By Nancy Lapid

(Reuters) – The following is a brief roundup of some of the latest scientific studies on the novel coronavirus and efforts to find treatments and vaccines for COVID-19, the illness caused by the virus.

Convalescent plasma lowers COVID-19 death risk

Infusions of antibody-rich blood plasma from people who have recovered from the new coronavirus, known as convalescent plasma, can lower the risk of death for hospitalized COVID-19 patients, according to a pooled analysis of data from eight earlier studies of more than 700 hospitalized patients around the world. Researchers found that mortality rates were roughly 13% in patients who received convalescent plasma versus about 25% for those who did not get the treatment. Convalescent plasma was shown to be safe in an earlier study of 5,000 hospitalized adults with severe or life-threatening COVID-19. In that study, fewer than 1% of patients had any serious adverse effects in the first four hours after transfusion. The current study could not account for differences in factors such as how sick patients were, how much plasma they received, how long they were sick before the received it, and how long doctors followed them afterward. “Given the safety of plasma administration in COVID-19 patients, the results … provide encouragement for its continued used as a therapy,” the researchers write in a report published ahead of peer review.

Exposure to common colds may impact COVID-19 severity

In patients with COVID-19, the immune system’s T cells learn to recognize and target the new coronavirus. But some people who were never infected with the virus nonetheless have T cells that also recognize it. Researchers had suspected that in these individuals, past exposure to other corona viruses, such as those that cause the common cold, had somehow primed their T cells to recognize and attack this new coronavirus (SARS-CoV-2), and new research appears to confirm that. In studies of human blood samples collected well before the new coronavirus was discovered, researchers found T cells that were equally reactive against the new virus and four types of common cold corona viruses. The strongest T cell responses to the new coronavirus were associated with the spike protein the virus uses to enter human cells. “We knew there was pre-existing reactivity, and this study provides very strong direct molecular evidence that memory T cells can ‘see’ sequences that are very similar between common cold corona viruses and SARS-CoV-2,” coauthor Alessandro Sette of the La Jolla Institute for Immunology said in a statement. It is plausible to think that previous exposure to common cold viruses might contribute to variations in COVID-19 severity, researchers said on Tuesday in the journal Science.

Severe COVID-19 may be less deadly in children

Children with COVID-19 rarely become critically ill, and when they do, they tend to have better outcomes than adults, based on early data from an ongoing study. The Critical Coronavirus and Kids Epidemiology (CAKE) study involves 65 pediatric intensive care units in 18 countries. In a paper published on Wednesday in the journal Pediatrics, the study team reported on the first 17 children with severe COVID-19 from 10 hospitals in Chile, Colombia, Italy, Spain and the United States. Most required respiratory support, with nearly half needing to be put on ventilators. Symptoms were varied, with fever, cough and gastrointestinal issues common. Overall, one child died, four developed inflammation of the heart and three remain hospitalized. The investigators hope to have more data soon that will provide additional information on the care and outcomes of these patients, which may become more important as schools reopen around the world. As of now, CAKE has enrolled almost 100 critically ill children “and we are projecting perhaps 100 more by the end of 2020,” Dr. Sebastian Gonzalez-Dambrauskas, with the Latin American Pediatric Collaborative Network, told Reuters.

(Reporting by Nancy Lapid and Megan Brooks; Editing by Bill Berkrot)

Coronavirus talks in Congress face timeline as Trump ponders his own action

By Patricia Zengerle and Susan Cornwell

WASHINGTON (Reuters) – Congressional Democratic leaders and White House officials were set to resume negotiations on coronavirus relief legislation on Wednesday, with the administration officials aiming for an agreement by Friday.

After more than a week of talks and few signs of progress, Treasury Secretary Steven Mnuchin, White House Chief of Staff Mark Meadows, House of Representatives Speaker Nancy Pelosi and Senate Democratic Leader Chuck Schumer were said to be aiming for a deal that could be passed by Congress next week.

“Obviously, we’re up against a deadline now. But as you know from experience around here, that’s about the only way,” Senator John Thune, the chamber’s No. 2 Republican, told reporters.

Indeed, negotiators have already blown past one deadline: last Friday, when enhanced unemployment payments of $600 a week expired for the tens of millions of Americans who have lost their jobs in the pandemic.

Mnuchin said late on Tuesday that the two sides were trying to reach an overall agreement by the end of this week.

But Pelosi said on Wednesday that the timeline would depend on the course of the negotiations.

“The timetable really relates to the progress we make. How big will the bill be and how long will it last? Those are the questions,” the Democratic congresswoman told MSNBC.

In the meantime, Republican President Donald Trump said he was still considering unilateral action to stimulate the economy by allowing taxpayers to defer payroll tax payments.

“Well, I may do it myself,” he said in an interview with Fox News. “I have the right to suspend it, and I may do it myself – I have the absolute right to suspend the payroll.”

An earlier Trump demand for a payroll tax cut gained no traction among lawmakers of either party in Congress.

POSTAL WOES

Trump’s newly installed Postmaster General, Louis DeJoy, was also due to provide Democrats with a briefing, amid worries about delays in Postal Service deliveries and the potential impact on the Nov. 3 elections, which could see record numbers of mail-in ballots as many voters fear casting votes in person could expose them to the coronavirus.

“We must resolve those in a way that allows mail to be delivered on time for the election and for the necessities that people need,” Schumer said on the Senate floor.

To illustrate the scale of mail-in voting expected, a Monmouth University poll found that 40% of Iowa voters are very likely to vote by mail in the general election, while another 17% are somewhat likely to do so.

Despite some progress in coronavirus legislation talks, both sides remain far apart on a range of issues.

Mnuchin warned that the Trump administration would not accept “anything close” to the $3.4 trillion in new aid that Democrats were seeking. But he offered to extend through the end of the year an expired moratorium on evictions of people unable to pay their rent.

Schumer accused Republicans of failing to grasp the severity of the pandemic, which has killed more than 157,000 people in the United States.

“There must be a relief package commensurate with the size of this historic challenge,” the New York Democrat said.

Senate Majority Mitch McConnell, the chamber’s top Republican, who has not joined the negotiations, blamed Schumer and Pelosi for the lack of a deal: “Democratic leaders have moved about one inch, one inch in eight days.”

In May, the Democratic-controlled House passed a $3 trillion aid bill that included around $1 trillion to help state and local governments that have revenue shortfalls because of the huge slowdown in economic activity related to the pandemic.

McConnell has offered a $1 trillion proposal that would significantly reduce an “enhanced” jobless benefit that expired on Friday.

Both sides say they support another round of direct payments to further help stimulate the economy and keep people afloat amid massive unemployment.

(Reporting by Patricia Zengerle, Susan Cornwell and Richard Cowan, Writing by David Morgan; Editing by Scott Malone and Jonathan Oatis)

New York City erects quarantine checkpoints to curb coronavirus

By Maria Caspani

NEW YORK (Reuters) – New York City will put up COVID-19 quarantine checkpoints at key entry points to ensure that travelers from 35 states on New York state’s travel advisory comply with the state’s 14-day quarantine mandate, Mayor Bill de Blasio said on Wednesday.

“Travelers coming in from those states will be given information about the quarantine and will be reminded that it is required, not optional,” de Blasio told a news briefing. He added that, under certain circumstances, fines for not observing the quarantine order could be as high as $10,000.

The Sheriff’s Office, in coordination with other law enforcement agencies, will begin deploying checkpoints at major bridge and tunnel crossings into New York City on Wednesday.

“This is serious stuff and it’s time for everyone to realize that if we’re going to hold at this level of health and safety in this city, and get better, we have to deal with the fact that the quarantine must be applied consistently to anyone who’s traveled,” de Blasio said.

Once the epicenter of the U.S. outbreak, New York has taken strong steps to prevent a resurgence of cases that has emerged elsewhere.

In Illinois, where COVID-19 cases have risen for six weeks in a row, Chicago Public Schools will start the new academic year conducting all classes remotely, school officials said on Wednesday.

Teachers in the district, the country’s third largest with 350,000 students, had resisted a plan by city leaders to launch a hybrid model in which parents could choose to have their children attend in-person instruction in pods of 15 pupils twice a week.

The Chicago Teachers Union threatened to strike over safety concerns if city leaders did not go to all-remote learning.

“Nothing about this crisis has been easy,” Chicago Mayor Lori Lightfoot said. “Every day has been another step into uncharted territory.”

(Reporting by Maria Caspani in New York and Brendan O’Brien in Chicago; Writing by Lisa Shumaker; Editing by Howard Goller)

U.S. Treasury to sell $112 billion next week, continue shift to longer-dated debt

By Ross Kerber

BOSTON (Reuters) – The U.S. Treasury Department said on Wednesday it will sell $112 billion next week in notes and bonds and that it plans to continue to shift more of its funding to longer-dated debt in coming quarters, as it finances measures to offset the impact of the COVID-19 epidemic.

The Treasury said it expects its debt needs to moderate but remain elevated, after borrowing a staggering $2.753 trillion in the second quarter.

“Treasury continues to face unprecedented borrowing needs as a result of the federal response to COVID-19,” Brian Smith, Treasury’s deputy assistant secretary for federal finance, said on a conference call.

The Treasury will sell $48 billion in three-year notes, $38 billion in 10-year notes and $26 billion in 30-year bonds next week as part of its quarterly refunding.

It said on Monday that it plans to borrow $947 billion in the third quarter, about $270 billion more than it previously estimated for the July-September period.

The federal agency will use “long-term issuance as a prudent means of managing its maturity profile and limiting potential future issuance volatility,” Smith said in a release.

As Treasury increases auction sizes, it will have larger increases in 7-year, 10-year, 20-year and 30-year notes and bonds, he said.

Treasury has been raising extra money to fund trillions of dollars in coronavirus-related economic aid allocated by Washington. As of Tuesday, White House negotiators were trying to reach a deal with congressional Democrats to extend relief measures including unemployment benefits, liability protections for businesses and a moratorium on evictions.

Borrowing has spiked far above the quarterly record set during the 2008 financial crisis.

A declining economic outlook has driven down U.S Treasury yields across the curve to record or near-record lows, helping raise equity prices and lower borrowing costs.

(Additional reporting by Karen Brettell in New York; Editing by Paul Simao)

Not in the room where it happens: U.S. Senate’s McConnell opts out of coronavirus talks

By Richard Cowan

WASHINGTON (Reuters) – As coronavirus aid negotiations between top White House officials and Democratic leaders in the U.S. Congress bogged down over the past week, the question reverberating through near-empty Capitol hallways has been “Where’s Mitch?”

That’s Mitch McConnell, the Senate majority leader with the reputation of being a legislative mastermind and a tough, wily deal-maker.

McConnell, a Republican like President Donald Trump, said on Tuesday he is deliberately hanging back as Congress’s top Democrats and White House negotiators work out a deal to help American families stay afloat during severe economic times caused by the coronavirus pandemic.

If they reach a deal, he said, it would be “something I’m prepared to support even if I have some problems with certain parts of it.”

Unlike in past showdowns over spending and borrowing authority bills, McConnell would not bring a strong hand to negotiations – his party’s 53-member majority in the 100-seat Senate is deeply fractured over his $1 trillion package, with dissenters expected no matter what emerges from the talks.

The betting is that Treasury Secretary Steven Mnuchin and White House Chief of Staff Mark Meadows could have an easier time without McConnell in the room as they try to craft a bill that will need Democratic support for passage anyway.

An arm’s-length appearance could also help deflect fallout if this legislative battle ends poorly, something that could be on his mind as he seeks to retain his seat in congressional and presidential elections in November.

That’s not to say that McConnell has gone AWOL. While he may not be in the sessions, he is in close touch with the White House behind the scenes.

“He’s definitely giving guidance,” Senator Bill Cassidy told Reuters on Tuesday. “Clearly Mnuchin and his team are the ones negotiating directly. But I certainly get a sense that they’re going in there knowing that which McConnell will accept and that which he will not.”

Senator Mike Rounds called McConnell’s approach pragmatic.

“In the past he’s made it clear that unless you have House Democrats on board and you have the White House on board, you’re really not going to get to a conclusion,” Rounds told reporters.

‘WE DO HAVE DIVISIONS’

Unlike the wall of opposition Republicans erected against former President Barack Obama’s landmark healthcare law, or the party’s lockstep backing for tax cuts, many Republicans are leery of spending more to battle COVID-19 — despite the virus’ impact on Americans’ lives and America’s economy.

McConnell’s pledge to support a deal, even as he keeps a low profile, could anger conservative Republican senators who have questioned whether Washington should do anything beyond the $3 trillion it already has passed to battle the fallout from the pandemic, which has killed more than 157,000 nationwide.

“We do have divisions,” McConnell acknowledged in his understated way.

In contrast, Democrats led by House of Representatives Speaker Nancy Pelosi and Senate Democratic Leader Chuck Schumer have presented a unified front around a $3 trillion proposal passed by the House in May.

On Tuesday, Schumer suggested McConnell had lost control of his caucus: “He’s not in the room negotiating because the Republicans can’t even articulate a coherent position.”

The Senate is being pressured from many sides to act on what could be the last piece of major legislation before election day on Nov. 3.

Trump, who has been trailing in polls versus presumptive Democratic nominee Joe Biden, repeatedly has called for steps to extend unemployment insurance or help those facing eviction from their homes, which Democrats have been pressing for months.

The U.S. Chamber of Commerce on Tuesday also urged action to protect businesses from liability lawsuits during the pandemic — McConnell’s main priority.

Former Republican House Speaker John Boehner always had a ready answer when he found himself, like McConnell now, in a tight spot.

“A leader without followers is simply a man taking a walk,” he would say during raucous times during his tenure.

Now, McConnell may have found himself in Boehner’s shoes.

(Reporting by Richard Cowan, David Morgan and Patricia Zengerle; Editing by Scott Malone and Sonya Hepinstall)

U.S. to pay over $1 billion for 100 million doses of Johnson & Johnson’s potential COVID-19 vaccine

(Reuters) – The United States government will pay Johnson & Johnson over $1 billion for 100 million doses of its potential coronavirus vaccine, its latest such arrangement as the race to tame the pandemic intensifies, the drugmaker said on Wednesday.

It said it would deliver the vaccine to the Biomedical Advanced Research and Development Authority (BARDA) on a not-for-profit basis to be used after approval or emergency use authorization by the U.S. Food and Drug Administration (FDA).

J&J has already received $1 billion in funding from the U.S. government – BARDA agreed in March to provide that money for the company to build manufacturing capacity for more than 1 billion doses of the experimental vaccine.

The latest contract equates to roughly $10 per vaccine dose produced by J&J. Including the first $1 billion deal with the U.S government, the price would be slightly higher than the $19.50 per dose that the United States is paying for the vaccine being developed by Pfizer Inc. and German biotech BioNTech SE.

The U.S. government may also purchase an additional 200 million doses under a subsequent agreement. J&J did not disclose that deal’s value.

J&J plans to study a one- or two-dose regimen of the vaccine in parallel later this year. A single-shot regimen could allow more people to be vaccinated with the same number of doses and would sidestep issues around getting people to come back for their second dose.

This is J&J’s first deal to supply its investigational vaccine to a country. Talks are underway with the European Union, but no deal has yet been reached.

J&J’s investigational vaccine is currently being tested on healthy volunteers in the United States and Belgium in an early-stage study.

There are currently no approved vaccines for COVID-19. More than 20 are in clinical trials.

(Reporting by Michael Erman in Maplewood, New Jersey, Shariq Khan in Bengaluru and Josephine Mason; Editing by Shinjini Ganguli, Emelia Sithole-Matarise and Jonathan Oatis)

Fed’s Clarida says economy could reach pre-pandemic levels by end of 2021

By Jonnelle Marte

NEW YORK (Reuters) – While U.S. economic growth slowed in July, it could pick up in the third quarter and reach pre-pandemic levels by the end of next year, Federal Reserve Vice Chairman Richard Clarida said on Wednesday.

“It will take some time, I believe, before we get back to the level of activity that we were in February before the pandemic hit,” Clarida said in an interview with CNBC.

Clarida said his personal forecast for the economy hasn’t changed because of the recent resurgence of the virus in the United States. He noted that economic momentum from May through early July was stronger than he expected and that the economy will receive more support from another fiscal package, which should even things out.

“My baseline view is that we could get back to the level of activity perhaps towards the end of 2021,” Clarida said. “But again, there are a lot of moving parts here with the virus and the global outlook, so I think there’s a pretty good range of uncertainty.”

Asked about the tepid use of the Fed’s Main Street Lending Program, which is supposed to help small and mid-sized businesses, Clarida said the facilities are meant to serve as backstops and that officials are open to changing the program if needed to reach more businesses.

“I do expect activity in the program to pick up,” Clarida said. “We’re focused on the goal of supporting the economy and if we need to adjust our programs we will do so.”

(Reporting by Jonnelle Marte; Editing by Kevin Liffey and Paul Simao)

‘Do you really need to party?’ WHO asks world’s youth

By Emma Farge

GENEVA (Reuters) – Young people must curb their party instincts to help prevent new outbreaks of the COVID-19 disease, officials at the World Health Organization (WHO) pleaded on Wednesday.

Tired of lockdowns and eager to enjoy the northern hemisphere summer, young people in some countries have been contributing to resurgences by gathering again for parties, barbecues and holidays.

Even in Geneva, where the global U.N. health body is based, cabarets and clubs were closed last week after evidence that nearly half of new cases were coming from there.

“Younger people also need to take on board that they have a responsibility,” said WHO emergencies chief and father-of-three Mike Ryan in an online discussion. “Ask yourself the question: do I really need to go to that party?”

Young people are less likely to suffer a severe form of the respiratory disease than their parents or grandparents, but the proportion of those infected aged 15-24 has risen three-fold in about five months, WHO data shows.

Ryan said young people were often reticent in giving their details or disclosing friends’ names to contact tracers. “It’s tough but it is what is needed to stop the virus,” he said.

Swiss newspapers said that in one night club in Zurich from which cases emerged recently, party-goers had given fake names including “Donald Duck”.

As well as reducing risks to others, WHO epidemiologist Maria Van Kerkhove said young people should be careful as even a mild version of the disease might have long-term consequences.

(Reporting by Emma Farge; Editing by Andrew Cawthorne)

Global coronavirus deaths exceed 700,000, one person dies every 15 seconds on average

By Lisa Shumaker

(Reuters) – The global death toll from the coronavirus surpassed 700,000 on Wednesday, according to a Reuters tally, with the United States, Brazil, India and Mexico leading the rise in fatalities.

Nearly 5,900 people are dying every 24 hours from COVID-19 on average, according to Reuters calculations based on data from the past two weeks.

That equates to 247 people per hour, or one person every 15 seconds.

President Donald Trump said the coronavirus outbreak is as under control as it can get in the United States, where more than 155,000 people have died amid a patchy response to the public health crisis that has failed to stem a rise in cases.

“They are dying, that’s true,” Trump said in an interview with the Axios news website. “It is what it is. But that doesn’t mean we aren’t doing everything we can. It’s under control as much as you can control it. This is a horrible plague.”

In Brazil, President Jair Bolsonaro has minimized the gravity of the pandemic and opposed lockdown measures, even as he and several of his cabinet tested positive for the virus.

The pandemic was initially slower to reach Latin America, which is home to about 640 million people, than much of the world. But officials have since struggled to control its spread because of the region’s poverty and densely packed cities.

More than 100 million people across Latin America and the Caribbean live in slums, according to the United Nations Human Settlements Program. Many have jobs in the informal sector with little in the way of a social safety net and have continued to work throughout the pandemic.

Even in parts of the world that had appeared to have curbed the spread of the virus, countries have recently seen single-day records in new cases, signaling the battle is far from over.

Australia, Japan, Hong Kong, Bolivia, Sudan, Ethiopia, Bulgaria, Belgium, Uzbekistan and Israel all recently had record increases in cases.

Australia also reported a record number of new deaths on Wednesday, taking the country’s total to 247.

(Reporting by Lisa Shumaker; editing by Jane Wardell)