At Oklahoma COVID ward, staff fight to prevent lonely deaths

By Nick Oxford

OKLAHOMA CITY (Reuters) – The patient alarms ping constantly in the COVID-19 ward at a hospital in Oklahoma City, signaling to pulmonologist Dr. Syed Naqvi and the rest of the ICU team that yet another person needs help.

The sheer volume is exhausting, Naqvi said, but the emotional toll is even more draining, given that each time he puts a patient on a ventilator he knows there is little chance that person will recover.

“The disease is real. Unfortunately, the misery is real. We have and still see patients die every day,” Naqvi said from an intensive care unit set aside for COVID-19 patients at the SSM Health St. Anthony Hospital.

At the same time as coronavirus vaccinations are being rolled out across the United States, the post-holiday spike in cases appears to be easing.

In Oklahoma, the number of COVID-19 patients hospitalized has fallen 34% in the last two weeks, with 1,375 admitted as of Thursday, according to a Reuters tally.

The state’s rate of infected people to population of 9.6% is higher than the overall U.S. rate of 7.9%, but the fatality rate for those with the coronavirus is lower, at 0.8% compared with 1.7% nationally.

But the pandemic is never taken lightly in hospitals like St. Anthony, where Naqvi frequently sees patients die alone, their loved ones kept at a safe distance.

“I still remember one guy, his last message was to tell his son he loves him… Most of those stories stick with you,” Naqvi said.

Naqvi wears two pairs of gloves and two face masks before entering the COVID-19 ICU, in addition to a cap and a gown over his scrubs.

Suited up, he makes the rounds treating patients like Brenda Rex, 77, who has been hospitalized twice over the past week after catching COVID-19 at her nursing home.

She admonished the skeptics who have refused to take the disease seriously.

“You’d better take it seriously because you’re going to spread it,” Rex said, speaking through a respirator supplying her with oxygen.

“And pay attention to those around you,” she said. “If they’re not doing what they should be doing… run the other way.”

(Reporting by Nick Oxford; Additional reporting by Anurag Maan; Writing by Daniel Trotta; Editing by Rosalba O’Brien)

Czech field hospital shut due to staff shortages even as pandemic rages

PRAGUE (Reuters) – An unused military field hospital in Prague will be packed up due to staff shortages even as high numbers of COVID-19 patients stretch Czech health-care facilities to the limits, officials said on Friday.

The coronavirus pandemic pushed hospitals in the Czech Republic to the brink of capacity in November and again earlier this month. The central European nation of 10.7 million people is suffering one of the world’s highest infection rates, with more than 16,000 COVID-related deaths recorded.

The army erected the field hospital on the outskirts of the capital Prague in October on the site of an exhibition ground and put the facility on standby, equipped to care for as many as 500 COVID-19 patients.

But because of a death of available staff, “we are unable to roll out the hospital in a way that makes sense,” Deputy Health Minister Vladimir Cerny told a news conference. “If we (do) have staff, it seems to be more purposeful to reinforce standard hospitals than to activate the field hospital.”

There were 5,856 COVID-19 patients in Czech hospitals as of Thursday, including 970 in intensive care – about 20% below peaks in mid-January.

But six of the country’s 14 regions reported zero or single-digit numbers of available intensive care beds. Officials have used ambulances and helicopters to move patients to less crowded hospitals while suspending non-urgent care for weeks.

With around 8,000 new infections reported every day of late, the government fears any new spike in cases from an expected spread of a more infectious British variant of the virus could overload hospital capacity.

Hospitals have also reported declining but still high numbers of infected staff – 4,047 nationwide as of Friday – and have shut down wards and repurposed others specially for COVID patients, running some with the help of soldiers and volunteers.

(Reporting by Jan Lopatka; Editing by Michael Kahn and Mark Heinrich)

U.S. consumer spending falls again; inflation gradually rising

By Lucia Mutikani

WASHINGTON (Reuters) – U.S. consumer spending fell for a second straight month in December amid renewed business restrictions to slow the spread of COVID-19 and a temporary expiration of government-funded benefits for millions of unemployed Americans.

The report from the Commerce Department on Friday also showed inflation steadily picking up last month. Stirring price pressures were also corroborated by other data showing a solid increase in labor costs in the fourth quarter. Though inflation is expected to breach the Federal Reserve’s 2% target this year, the U.S. central bank is seen maintaining its ultra-easy policy stance for a while as the economy battles the COVID-19 pandemic.

Consumer spending, which accounts for more than two-thirds of U.S. economic activity, slipped 0.2% last month as outlays at restaurants declined. Spending at hospitals also fell, likely as consumers stayed away in fear of contracting the coronavirus.

Households also cut back spending on recreation. Consumer spending tumbled 0.7% in November. Economists polled by Reuters had forecast consumer spending falling 0.4% in December.

When adjusted for inflation, consumer spending decreased 0.6% in December after dropping 0.7% in November. That likely sets a lower base for consumer spending in the first quarter.

The data was included in Thursday’s advance gross domestic product report for the fourth quarter, which showed the economy growing at a 4% annualized rate after a record 33.4% pace in the third quarter. Consumer spending rose at a 2.5% rate last quarter following a spectacular 41.0% growth pace in the July-September period.

Economic growth is expected to decelerate to below a 2% rate in the first quarter as it works through the disruptions from a virus surge in winter. The government provided nearly $900 billion in additional relief in late December. This together with an anticipated pick-up in the distribution of vaccines is likely to spur growth by summer.

President Joe Biden has also unveiled a recovery plan worth $1.9 trillion, though the package is likely to be pared down amid worries about the nation’s swelling debt.

U.S. stocks opened lower after Johnson & Johnson said its single-dose vaccine was 72% effective in preventing COVID-19 in the United States, but a lower rate of 66% was observed globally. The dollar was steady against a basket of currencies. U.S. Treasury prices were lower.

INCOME REBOUNDS

The late December stimulus package included direct cash payments to some households and renewed a $300 unemployment supplement until March 14. Government-funded programs for the self-employed, gig workers and others who do not qualify for the state unemployment programs as well as those who have exhausted their benefits were also extended.

Last month, personal income rebounded 0.6%, boosted the unemployment benefits payouts as well as a rise in wages. Income tumbled 1.3% in November. Americans increased savings last month. The saving rate rose to 13.7% from 12.9% in November.

Despite weak consumer spending inflation edged higher. The personal consumption expenditures (PCE) price index excluding the volatile food and energy component increased 0.3% after being unchanged in November. In the 12 months through December, the so-called core PCE price index increased 1.5% after advancing 1.4% in November.

The core PCE index is the preferred inflation measure for the Fed’s 2% target, a flexible average.

The gradually firming inflation environment was reinforced by separate report from the Labor Department on Friday showing its Employment Cost Index, the broadest measure of labor costs, rose 0.7% last quarter after advancing 0.5% in the third quarter. That lifted the year-on-year rate of increase to 2.5% from 2.4% in the third quarter.

The ECI is widely viewed by policymakers and economists as one of the better measures of labor market slack and a predictor of core inflation as it adjusts for composition and job quality changes. Economists had forecast the ECI climbing 0.5% in the fourth quarter.

Wages and salaries increased 0.9% after gaining 0.4% in the third quarter. They were up 2.6% year-on-year. The private sector accounted for the surge in wages and salaries. Benefits rose 0.6%, matching the third quarter’s increase.

Inflation is seen accelerating as weak readings last March and April drop from the calculation. It is also expected to be boosted by a strengthening in economic growth, driven by fiscal stimulus and the inoculation of more Americans against COVID-19.

Bottlenecks in the supply chain are expected to contribute to higher inflation. Recent manufacturing surveys have shown a surge in price measures for both raw materials and finished products.

(Reporting by Lucia Mutikani; Editing by Hugh Lawson and Andrea Ricci)

WHO team in Wuhan visits hospital that treated early COVID cases

By Gabriel Crossley

WUHAN, China (Reuters) – A World Health Organization-led team of experts investigating the origins of COVID-19 on Friday visited a hospital in the Chinese city of Wuhan that was one of the first to treat patients in the early days of the outbreak.

The hospital visit was the team’s first in the field after two weeks in quarantine, and a WHO spokeswoman said the group’s contacts in Wuhan will be limited to visits organized by their Chinese hosts due to health restrictions.

“The team will go out but they will be bussed to wherever, so they won’t have any contact with the community. They will only have contact with various individuals that are being organized as part of the study,” WHO spokeswoman Margaret Harris told a briefing in Geneva on Friday.

After meeting with Chinese scientists earlier in the day, the team went to the Hubei Provincial Hospital of Integrated Chinese and Western Medicine.

Zhang Jixian, director of the hospital’s department of respiratory and critical care, has been cited by state media as the first to report the novel coronavirus, after treating an elderly couple in late 2019 whose CT scans showed differences from typical pneumonia.

“Extremely important 1st site visit. We are in the hospital that treated some of the first known cases of COVID-19, meeting with the actual clinicians & staff who did this work, having open discussion about the details of their work,” Peter Daszak, a member of the WHO-led team, wrote on Twitter.

The team plans to visit labs, markets and hospitals during its remaining two weeks in Wuhan, where the coronavirus was first identified in late 2019.

While an exact itinerary has not been announced, the WHO has said the team plans to visit the seafood market at the center of the early outbreak as well as the Wuhan Institute of Virology. One hypothesis, rejected by China, is that the outbreak was caused by a leak at the government lab.

The WHO-led probe in Wuhan has been plagued by delays, concern over access and bickering between China and the United States, which accused China of hiding the extent of the initial outbreak and criticized the terms of the visit, under which Chinese experts conducted the first phase of research.

The WHO has sought to manage expectations. “There are no guarantees of answers,” its emergency chief, Mike Ryan, said this month.

The investigating team had been set to arrive in Wuhan earlier in January, and China’s delay of their visit drew rare public criticism from the head of the WHO, which former U.S. President Donald Trump accused of being “China-centric”.

A Chinese foreign ministry spokesman, Zhao Lijian, said on Friday that WHO and Chinese experts were working together to trace the origin of the virus, but stressed that the mission was not a probe.

“It is part of a global research, not an investigation,” Zhao told a regular news conference in Beijing.

China has pushed the idea that the virus existed abroad before it was discovered in Wuhan, with state media citing the presence of the virus on imported frozen food packaging and scientific papers saying it had been circulating in Europe in 2019.

China’s foreign ministry has also hinted that the sudden closure of a U.S. army laboratory at Fort Detrick in Maryland in July 2019 was linked to the pandemic.

“At the early stage in China, it was a burden particularly for Wuhan people when everyone was calling it a Wuhan virus, which was humiliating,” said Yang You, a 30-year-old Wuhan resident. “If it could be traced to the source clearly, in my opinion, it could clear either China’s or Wuhan’s name.”

(Reporting by Gabriel Crossley and Martin Quin Pollard; Additional reporting by Yew Lun Tian in Beijing and Stepahnie Nebehay in Geneva; Writing by Tony Munroe; Editing by Michael Perry, Nick Macfie & Simon Cameron-Moore)

COVID-19 wreaks havoc on U.S. economy; 2020 performance worst in 74 years

By Lucia Mutikani

WASHINGTON (Reuters) – The U.S. economy contracted at its deepest pace since World War Two in 2020 as the COVID-19 pandemic depressed consumer spending and business investment, pushing millions of Americans out of work and into poverty.

Though a recovery is underway, momentum slowed significantly as the year wound down amid a resurgence in coronavirus infections and exhaustion of nearly $3 trillion in relief money from the government. The moderation is likely to persist at least through the first three months of 2021.

The economy’s prospects hinge on the distribution of vaccines to fight the virus. President Joe Biden has unveiled a recovery plan worth $1.9 trillion, but some lawmakers have balked at the price tag soon after the government provided nearly $900 billion in additional stimulus in late December.

“The economy will never move further away from the edge of the cliff of recession unless there is a resurgence in final demand, meaning consumers have to come out in force to make the recovery a permanent one,” said Chris Rupkey, chief economist at MUFG in New York.

Gross domestic product decreased 3.5% in 2020, the biggest drop since 1946, the Commerce Department said on Thursday. That followed 2.2% growth in 2019 and was the first annual decline in GDP since the 2007-09 Great Recession.

Nearly every sector, with the exception of government and the housing market, contracted last year. Consumer spending, which accounts for more than two-thirds of the economy, plunged 3.9%, the worst performance since 1932. The economy tumbled into recession last February.

Delays by the government to offer another rescue package and renewed business disruptions caused by the virus restricted GDP growth to a 4.0% annualized rate in the fourth quarter. The big step-back from a historic 33.4% growth pace in the third quarter left GDP 2.5% below its level at the end of 2019.

The economy is expected to return to its pre-pandemic level in the second quarter of this year.

The Federal Reserve on Wednesday left its benchmark overnight interest rate near zero and pledged to continue pumping money into the economy through bond purchases, noting that “the pace of the recovery in economic activity and employment has moderated in recent months.”

With the virus still raging, economists are expecting growth to slow to around a 1.0% rate in the first quarter, before regaining speed by summer as the additional stimulus kicks in and more Americans get vaccinated.

“We foresee record-breaking consumer spending growth in 2021 with households benefiting from a watered-down $1.2 trillion version of Biden’s rescue plan, vaccine diffusion gradually reaching two thirds of Americans by July and employment accelerating this spring,” said Gregory Daco, chief U.S. economist at Oxford Economics in New York.

Stocks on Wall Street were trading higher. The dollar slipped against a basket of currencies. U.S. Treasury prices were lower.

K-SHAPED RECOVERY

The services sector, especially restaurants, bars and hotels, has borne the brunt of the coronavirus recession, disproportionately impacting lower-wage earners, who tend to be women and minorities. That has led to a so-called K-shaped recovery, where better-paid workers are doing well while lower-paid workers are losing out.

The stars of the recovery have been the housing market and manufacturing as those who are still employed seek larger homes away from city centers, and buy electronics for home offices and schooling. Manufacturing’s share of GDP has increased to 11.9% from 11.6% at the end of 2019.

A survey by professors at the University of Chicago and the University of Notre Dame showed poverty increased by 2.4 percentage points to 11.8% in the second half of 2020, boosting the ranks of the poor by 8.1 million people.

Rising poverty was underscored by persistent labor market weakness. In a separate report on Thursday, the Labor Department said initial claims for state unemployment benefits totaled a seasonally adjusted 847,000 for the week ended Jan. 23. While that was down 67,000 from the prior week, claims remain well above their 665,000 peak during the 2007-09 Great Recession.

Including a government-funded program for the self-employed, gig workers and others who do not qualify for the regular state unemployment programs 1.3 million people filed claims last week.

The economy shed jobs in December for the first time in eight months. Only 12.4 million of the 22.2 million jobs lost in March and April have been recovered. About 18.3 million Americans were receiving unemployment checks in early 2021.

“The labor market is struggling this winter, but better times are ahead,” said Ryan Sweet, a senior economist at Moody’s Analytics in West Chester, Pennsylvania.

Lack of jobs and the temporary expiration of a government weekly jobless subsidy curtailed growth in consumer spending to a 2.5% rate in the fourth quarter after a record 41% pace in the July-September quarter.

But business investment grew at a 13.8% rate, with spending on equipment rising at a 24.9% pace. Spending on nonresidential structures rebounded after four straight quarterly declines.

Businesses also accumulated inventories last quarter, contributing to GDP growth. But the inventory build pulled in more imports, leading to a larger trade deficit, which subtracted from output. The housing market recorded another quarter of double-digit growth, thanks to historically low mortgage rates. Government spending was weak.

(Reporting by Lucia Mutikani; Editing by Chizu Nomiyama and Andrea Ricci)

South Carolina reports two South African variant COVID-19 cases, first in U.S.

By Julie Steenhuysen

(Reuters) – State health officials in South Carolina on Thursday said they found two cases of COVID-19 linked to a more transmissible coronavirus variant first detected in South Africa, the first cases of the mutated virus discovered in the United Sates.

Viruses are constantly changing, but the presence of the South African variant in the United States is especially concerning because several laboratory studies have shown that it reduces vaccine effectiveness.

So far, vaccines made by Moderna Inc and Pfizer Inc/BioNTech still appear protective against this variant of the coronavirus, but the companies this week said they are considering making new versions of their shots just in case. Moderna also plans to test giving a third shot of its vaccine to bolster antibody levels.

The U.S. Centers for Disease Control and Prevention said in a statement that it is aware of the cases and noted that there is no evidence the variant causes more severe disease.

The arrival of the South African variant follows predictions by the CDC this month that a more-transmissible U.K. variant could become the dominant strain in the United States by March.

CDC has said the arrival of more transmissible coronavirus variants emphasizes the need for rapid rollout of the vaccine to limit the ability of the virus to continue mutating.

(Reporting by Peter Szekely and Julie Steenhuysen in Chicago; additional reporting by Manojna Maddipatla in Bangalore; Editing by Chizu Nomiyama and David Gregorio)

German minister sees COVID-19 vaccine shortage well into April

BERLIN (Reuters) – Germany faces a shortage of coronavirus shots well into April, its health minister said on Thursday, and called for a summit with the country’s state leaders to discuss vaccinations as the government faced fresh criticism over the pace of the roll-out.

Several people close to the talks told Reuters that the meeting will take place on Monday.

“We will still have at least 10 tough weeks with a shortage of vaccine,” Jens Spahn said in a Tweet, adding the meeting should focus on how Europe gets its fair share of shots and what can be done to support the process.

Germany, like the rest of the European Union, is scrambling to obtain shots as the West’s biggest drugmakers slow deliveries to the bloc due to production problems.

Germany’s top-selling Bild newspaper described the problem of procuring enough vaccines as a “scandal”.

Meanwhile, popular approval of the government’s handling of the coronavirus crisis has dropped to 49%, its lowest since the start of the pandemic, a poll for the Frankfurter Allgemeine Zeitung showed.

Spahn said he wanted to invite pharmaceutical companies and vaccine manufacturers to a meeting to discuss the way forward, adding he recognized vaccine production was complex and production could not be built up in a few weeks.

On Tuesday, Spahn supported European Union proposals to set up a register of vaccine exports, as tensions grow with AstraZeneca and Pfizer over sudden supply cuts just a month after the EU started vaccinating citizens.

Germany reported 17,553 new coronavirus cases on Thursday, bringing the total to 2,178,828, and another 941 deaths. The seven-day incidence rate fell under 100 cases per 100,000 for the first time since the end of October. The government wants it to drop below 50.

Spahn has said that if cases continue to fall, schools and nurseries should be the first to reopen after a lockdown currently due to last until Feb. 14.

Germany is also preparing entry restrictions for travelers from Britain, Brazil and South Africa, the interior ministry said, and hopes to decide by Friday as concerns mount about more contagious variants.

“We have to get ahead of the situation,” Interior Minister Horst Seehofer said on Twitter.

(Reporting by Emma Thomasson, Caroline Copley and Andreas Rinke; Editing by Thomas Seythal, Alex Richardson and Giles Elgood)

Portugal extends lockdown as COVID-19 brings health service to its knees

By Sergio Goncalves and Catarina Demony

LISBON (Reuters) – Portugal’s parliament extended a nationwide lockdown on Tuesday until mid-February, as Prime Minister Antonio Costa accepted blame for the world’s worst coronavirus surge, with hospitals on the verge of being overrun.

With 10 million people, Portugal reported a record 303 COVID-19 deaths and 16,432 new cases on Thursday, and now has the world’s highest per capita seven-day averages of both new cases and deaths.

Costa told TVI broadcaster overnight the situation was “not bad, but terrible … and we’ll face this worst moment for a few more weeks”.

The situation had worsened partly because his government relaxed restrictive measures between Christmas and the end of the year, he said, with the country now grappling with a virulent new variant of the virus first detected in Britain.

“There were certainly errors: often the way I transmitted the message to the Portuguese … and, when the recipient of the message did not understand the message, then it is the messenger’s fault,” he said. The lockdown should, in principle, start reducing infection numbers next week, he added.

Some hospitals are running out of beds, others see dwindling oxygen supplies, and doctors and nurses are over-stretched. Staff at the Cascais Hospital, near Lisbon, told Reuters they were exhausted. “There is no end in sight,” one nurse said.

The new lockdown, which came into force on Jan. 15 for the first time since the initial wave of the pandemic, will last at least until Feb. 14. Non-essential services are closed, remote work is compulsory where possible and schools are shut.

“Unfortunately we are dealing with a disease that surprises us every day and we do not give up… we continue to fight every day,” Health Minister Marta Temido told parliament before lawmakers voted to extend the lockdown.

Germany said on Wednesday it was willing to help and had sent military medical experts to Portugal to assess what kind of support it could bring.

But Costa said there was only so much European partners could do. “One should be cautious” about the idea of sending patients abroad from Portugal, which has a land border only with already over-stretched Spain.

Regarding possible German aid, he said: “In everything Portugal has asked for, unfortunately they have no availability, namely doctors, nurses.”

Officials said the first phase of Portugal’s vaccination plan will be extended by around two months into April as delivery delays mean the country will receive just half the expected doses by March.

(Reporting by Victoria Waldersee, Sergio Goncalves and Catarina Demony; Writing by Ingrid Melander and Catarina Demony; Editing by Andrei Khalip, Larry King, Peter Graff)

Africa secures 400 million more COVID-19 vaccine doses

By George Obulutsa

NAIROBI (Reuters) – The African Union (AU) has secured another 400 million doses of the AstraZeneca COVID-19 vaccine, a regional health leader said on Thursday, in a push to immunize 60% of the continent’s population over three years.

As richer nations race ahead with mass immunization campaigns, Africa is scrambling to obtain supplies for its 1.3 billion people. Only a handful of African nations have begun giving doses.

John Nkengasong, director of the AU’s disease control and prevention body, told an online briefing that in addition to 270 million doses previously secured, the bloc would get 400 million shots from the Serum Institute of India (SII) – all AstraZeneca/Oxford University shots.

A spokesman for the SII declined comment.

The AstraZeneca vaccine is the cheapest option and one of the best-suited to African health systems as it does not require storage at ultra-low temperatures like the vaccine from Pfizer and German partner BioNTech.

Separately from the AU’s efforts, Africa is to receive about 600 million vaccine doses this year via the COVAX facility co-led by the World Health Organization (WHO).

Health authorities hope to vaccinate about 30-35% of Africans this year, rising to 60% in two to three years. The AU has said vaccines secured by its vaccine task team will be allocated according to population.

Though COVID-19 has not hit Africa as badly as some experts had feared it would, wealth disparities, logistical difficulties and “vaccine nationalism” by developed nations may put the world’s poorest continent at a disadvantage.

Africa has reported 3.5 million infections and 88,000 deaths, according to a Reuters tally. That is fewer fatalities than individual nations the United States, Brazil, India, Mexico and Britain.

OUTLIER TANZANIA

In an implicit rebuke to Tanzanian President John Magufuli, who has discouraged mask-wearing and social distancing, discontinued data publication and called vaccines a malign foreign plot, WHO Africa director Matshidiso Moeti urged Tanzania to implement such measures, prepare vaccinations and share data. “Africa is at a crossroads and all Africans must double down on preventive measures,” she told an online news conference on Thursday, saying WHO officials were in touch with Tanzanian officials. “Science shows that vaccines work.”

Magufuli’s government has published no coronavirus data since May 8, when the country had 509 cases and 21 deaths.

On Wednesday, he said, without evidence, that vaccines were a foreign plot to spread illness and steal Africa’s wealth. He urged Tanzanians instead to trust God and use alternative remedies such as steam inhalation.

“We in Tanzania managed to stay for a year without corona. Even here, no one has put on a mask. Our God is beyond Satan and Satan will always fail using different diseases,” he said in a speech in his western home area.

Nkengasong said the Africa CDC was exploring obtaining more vaccines from China, Russia and Cuba, and would work with any partner whose vaccine was safe and effective.

(Reporting by George Obulutsa, Nairobi newsroom and Alexander Winning; Writing by Andrew Cawthorne; Editing by Alex Richardson and Frances Kerry)

COVID-19 death toll in the Americas reaches 1 million people, says PAHO director

BRASILIA (Reuters) – Over one million people in the Americas have now died from complications from COVID-19, the head of the Pan American Health Organization (PAHO), Carissa Etienne, said on Wednesday.

There is growing pressure on hospital capacity throughout North America. In some U.S. states, nearly 80% of ICU beds are being used to treat COVID-19 patients, and similar rates are seen in many Mexican states, she warned.

The hospital situation in Brazil is particularly worrisome, with three-quarters of ICU beds occupied in many Brazilian states, she said.

(Reporting by Anthony Boadle; Editing by Chris Reese)