U.S. prepares for first COVID-19 shots as another vaccine candidate emerges

By Daniel Trotta

(Reuters) – U.S. officials expect to begin inoculating Americans against the novel coronavirus by mid-December as another global drug company on Monday unveiled promising trial results on a vaccine candidate, providing hope as the pace of infections accelerated.

The head of the U.S. campaign to rapidly deploy a vaccine that U.S. healthcare workers and other high-risk people could start getting shots produced by Pfizer Inc within a day or two of regulatory consent next month.

“I would expect, maybe on day two after approval on the 11th or 12th of December, hopefully the first people will be immunized across the United States,” Dr. Moncef Slaoui, chief scientific adviser for “Operation Warp Speed,” told CNN on Sunday.

With many Americans traveling and potentially increasing their risk ahead of the Thanksgiving holiday on Thursday, the United States has surpassed 12 million infections and the death toll has climbed to more than 255,000 since the pandemic began.

Coronavirus hospitalizations have surged nearly 50% over the past two weeks as the pace of new infections quickened, and the average number of new COVID-19 deaths reported in United States has been increasing for 12 days.

The latest vaccine breakthrough came on Monday as British company AstraZeneca said its vaccine could be 90% effective without any serious side effects. The vaccine would give the world another important tool against the pandemic and one that is potentially cheaper to make, easier to distribute and faster to scale up than those of rivals.

The vaccine was 90% effective in preventing COVID-19 when administered in two different doses a month apart, late-stage trials showed.

The British drugmaker said it would have as many as 200 million doses by the end of 2020 and 700 million doses could be ready globally as soon as the end of the first quarter of 2021.

Pfizer, working with German partner BioNTech, says its vaccine was 95% effective against infection from the highly contagious respiratory virus.

Other pharmaceutical companies making progress include Moderna Inc, which is expected to seek separate approval later in December, and Johnson & Johnson, which is working on a single-dose vaccine.

In the United States, the first people to receive the Pfizer vaccine would likely include doctors, nurses and front-line emergency medical personnel, as well as those at the highest risk of severe illness and death from the virus, Slaoui said.

But U.S. Surgeon General Jerome Adams expressed concern that Americans who are dismissive of science and skeptical about vaccines may discourage people from getting their jabs.

“What I’d hate is for us to have a vaccine that could end this pandemic but people don’t trust it,” Adams told the ABC News show “Good Morning America” on Monday.

“I’m just excited we now have three vaccines out there because when you’re trying to immunize the entire planet we want to have as many different tools in our arsenal as possible,” Adams said.

Adams warned Americans that holiday parties “can be super-spreader events,” while New Jersey Governor Phil Murphy urged people to scale back or cancel Thanksgiving plans.

“We’ve pleading with people: Please, God, do the right thing,” Murphy told “Good Morning America.”

California Governor Gavin Newsom said late Sunday he would quarantine for 14 days after three of his children were exposed to a California Highway Patrol officer who tested positive for the virus.

(Additionl reporting by Lisa Lambert, Susan Heavey, Doina Chiacu, Kate Holton, Josephine Mason and Kate Kelland; Editing by Bernadette Baum)

U.S. screens highest number of airline passengers since March

By David Shepardson

WASHINGTON (Reuters) – The U.S. Transportation Security Administration said it screened 1.047 million passengers on Sunday, the highest number since mid-March.

The number of U.S. air travelers is still nearly 60% lower than the same date last year but Sunday was the second time in three days that passengers screened topped 1 million.

The Centers for Disease Control and Prevention (CDC) on Thursday urged Americans not to travel during this week’s Thanksgiving holiday to mitigate the spread of the coronavirus as cases of COVID-19 spike around the United States.

There have been just three days since March 16 that the number of U.S. airline passengers screened topped 1 million, with the first being Oct. 18 when it was 1.031 million.

Delta Air Lines and Southwest Airlines have cautioned that the recent surge in COVID-19 cases may have a negative impact on travel over the winter holidays, a period the sector had hoped would see improved bookings.

U.S. airlines say travel demand remains down 62%, while international travel demand remains down more than 70%. Some officials think U.S. restrictions barring many non-U.S. citizens from arrival could be eliminated or reduced with new testing.

The CDC on Saturday said COVID-19 testing before and after international travel can reduce risk and “make travel safer by reducing spread on planes, in airports, and at destinations.”

On Wednesday, the chief executives of the seven largest U.S. airlines made a fresh plea for more payroll relief in a letter to congressional leaders.

American Airlines and United Airlines last month furloughed 32,000 workers.

The COVID-19 pandemic brought travel to a near halt earlier in the year, forcing airlines to scale back operations and seek government bailouts.

(Reporting by David Shepardson; Editing by Toby Chopra and Andrea Ricci)

U.S. officials worry about holiday spike as coronavirus surges

By Brendan O’Brien and Maria Caspani

CHICAGO (Reuters) – U.S. health authorities braced for further increases in COVID-19 infections, hospitalizations and deaths on Friday, capping a week in which the spread of the novel coronavirus accelerated ahead of next week’s Thanksgiving holiday.

The seven-day rolling average of new COVID-19 cases reached more than 165,000 on Thursday, while the seven-day average for deaths climbed to 1,359, more than any day since late May, according to a Reuters tally of public health data.

With hospitalizations rising across much of the nation, straining already exhausted medical staff, officials in more than 20 states have imposed restrictions to curtail the spread of the virus.

The White House Coronavirus Task Force coordinator, Dr. Deborah Birx, said the virus is spreading at a high rate across more than half the country and that Thanksgiving gatherings should be limited to immediate family members rather than a maximum number of people.

“I don’t like it to be any number… if you say it can be 10, and it’s eight people from four different families, then that probably is not the same degree of safe as 10 people from your immediate household,” Birx told CNN on Friday.

In a positive sign for combating the pandemic, Pfizer Inc. said it will apply to U.S. health regulators on Friday for emergency use authorization of its COVID-19 vaccine, the first such application in a major step toward providing protection against the virus.

Pfizer and German partner BioNTech SE this week reported final trial results that showed the vaccine was 95% effective in preventing COVID-19 with no major safety concerns.

If the data is solid, “we literally could be weeks away from the authorization of a 95% effective vaccine,” U.S. Health Secretary Alex Azar said on CBS’ “This Morning.”

California’s governor on Thursday imposed some of the most stringent restrictions on the vast majority of the state’s population, with a curfew on social gatherings and other non-essential activities that will start on Saturday night and end on the morning of Dec. 21.

“The virus is spreading at a pace we haven’t seen since the start of this pandemic, and the next several days and weeks will be critical to stop the surge,” Governor Gavin Newsom, a Democrat, said in a statement announcing the measure a week before the Thanksgiving holiday.

Similar restrictions took effect in Ohio this week, while Minnesota ordered a shutdown of restaurants, bars, fitness centers and entertainment venues from Friday until Dec. 18 at the earliest, as the state’s hospital intensive care units were stretched to capacity.

In Illinois, where the number of COVID-19 tests coming back positive was at an alarmingly high 20% and new restrictions, including a ban on indoor dining, took effect on Friday, long lines appeared again at testing sites.

In Chicago’s metro area, Emily Randall had no luck finding an opening to get tested after she woke up with a throbbing headache on Thursday.

“It’s very frustrating because I’m trying to be a responsible citizen,” said the 43-year-old research analyst. “My head feels a lot better but I am still worried because I have read stories of people who got better and then, all of a sudden, got worse.”

The number of patients hospitalized with COVID-19 in the United States has jumped nearly 50% in the past two weeks, with more than 80,000 people being treated for the disease in hospitals across the country as of late Thursday, a Reuters tally showed, the most at any time during the pandemic.

Daily COVID-19 deaths surpassed the 2,000 mark for the first time since late June on Thursday.

THANKSGIVING FEARS

U.S. officials have pleaded with the public to avoid unnecessary travel and exercise caution as the winter holidays of Thanksgiving and Christmas approach.

The U.S. Centers for Disease Control and Prevention issued a “strong recommendation” on Thursday that Americans refrain from traveling for the holiday.

Although COVID-19 restrictions have received more bipartisan support from state leaders in recent weeks, South Dakota Governor Kristi Noem, a Republican and close ally of President Donald Trump, refused to limit gatherings on Thanksgiving.

“In South Dakota, we won’t stop or discourage you from thanking God and spending time together this Thanksgiving,” Noem said in a statement on Friday.

With cases and deaths increasing steadily in most states, the University of Washington’s Institute for Health Metrics and Evaluation updated its widely cited model.

It now projects 471,000 coronavirus deaths by March 1, up from less than 440,000 in its previous forecast.

In hard-hit Wisconsin, the state’s hospital association implored lawmakers to address the growing crisis by providing more resources to health care workers and facilities.

“With few tools available right now to curb spread other than increasingly urgent public appeals, our COVID numbers are growing rapidly and predict, quite accurately so far, a health care crisis in Wisconsin that without significant, swift, and unified action will become a catastrophe,” Wisconsin Hospital Association President and CEO Eric Borgerding wrote in a letter to legislators and the governor on Thursday.

(Reporting by Maria Caspani in New York and Brendan O’Brien in Chicago; additional reporting by Anurag Maan in Bengaluru, Sharon Bernstein in Sacramento and Steve Gorman in Los Angeles, California; Editing by Dan Grebler)

‘Dial back’ or ’emergency brake?’ New lockdowns and the U.S. economy

SAN FRANCISCO (Reuters) – The surge in new COVID-19 infections is driving a fresh wave of restrictions in cities and counties across the United States.

California’s “emergency brake,” Oregon’s “freeze,” Philadelphia’s “safer at home” and Minnesota’s “dial back” are among a new patchwork of rules adopted by states, cities and counties that are much less strict and far more narrow than measures imposed to stop the spread of the virus in the spring.

The overall economic bite will be smaller, too, compared to the downdraft that started earlier this year and which led to roughly 22 million people losing their jobs, a collapse in retail spending and a recession.

“I don’t see where you get a 30% hit to GDP,” said Tim Duy, an economics professor at the University of Oregon. “There’s not as much to take off the table … I’m having a hard time seeing where you are going to derail the recovery.”

Businesses that were fully shut in March, like medical offices, shops, factories, and even hair salons, will remain open in many areas this time around.

That’s in part because many Americans have changed their behavior, businesses from manufacturers to retail stores have added routine temperature checks, and face masks are more common and in many states mandated. Meanwhile, consumers have embraced online shopping and curbside delivery to keep spending.

High-frequency data backs that up: even after the latest explosion in case numbers, economic activity has not collapsed.

SURGICAL STRIKE

Many of the latest restrictions target activities where science shows the spread of the virus is the most pernicious – indoor pursuits, in close quarters, for extended periods of time, or with heavy or unmasked breathing.

That means they will hurt some already hard-hit sectors of the economy, including hospitality and entertainment. The U.S. Centers for Disease Control and Prevention on Thursday issued a strong recommendation against travel over the Thanksgiving holiday this month, though it did not ban it outright.

Many of the more than two dozen states that have issued new restrictions this week have closed or restricted indoor dining and gyms. California, the biggest state by economic output, is among that group.

At the same time, businesses shut during California’s lockdowns in the spring, including shopping malls, body waxing venues, and barber shops, can continue to operate, albeit with some limits to contain the spread of the virus.

Philadelphia’s ban on indoor dining goes into effect on Friday.

Stock Fishtown and Stock Rittenhouse, which are owned by Philadelphia-based restaurateur Tyler Akin, will shift to carry-out and delivery mode. On Monday new rules in Delaware will force him to reduce capacity at his Le Cavalier restaurant in Wilmington to 30%, down from the current 50%. Though better than being entirely closed down, as was the case in March, Akin may need to adjust staffing to fit revenue.

“We have some really hard conversations ahead of us,” he said.

Efforts to adapt business to the realities of the pandemic may allow some restaurants and bars to weather the worst effects of the restrictions. In Oakland, California, as in many cities around the country, restaurants and bars have built platforms decked out with tables, chairs and propane heaters to make customers more comfortable outside in chillier weather.

It’s “a way to keep our businesses afloat,” said Ari Takata-Vasquez, who leads a small-business alliance in Oakland that has raised money to build the outdoor dining areas for cash-strapped eateries.

She’s working on, or completed, five of them – and has 30 eateries and gyms on the waiting list.

In Minnesota, movie theaters and yoga studios will shut at midnight on Friday, along with indoor and outdoor service at eateries, pubs and gyms. Minnesota Governor Tim Walz, like many of his counterparts across the country, is also telling families not to have household gatherings, and he acknowledged the new rules will be felt especially hard by small businesses.

“By closing your doors and putting your financial well-being at risk, you are protecting the lives of your neighbors,” he said this week.

LIGHTER LOCKDOWNS, LESS RELIEF

Many of the newly implemented restrictions are expected, at least for now, to last two to four weeks. But even though lockdowns will be more moderate – and in many places are simply sector-specific curfews rather than sweeping closures – business owners and employees, especially in the restaurant industry, are worried their own financial pain will be sharper.

That’s because Congress has shown little sign of delivering another round of fiscal relief, let alone the massive pandemic packages totaling some $3 trillion passed earlier this year.

The last of the extra government aid for the unemployed is due to run out at the end of this year. A bill with bipartisan support to rescue the restaurant industry is caught in limbo in Congress, as the outgoing Trump administration focuses on challenging the results of the Nov. 3 presidential election.

While households overall still have excess savings, built in part from prior government aid, for many families that money is likely to run out before a vaccine comes into widespread use.

(Reporting by Ann Saphir and Jonnelle Marte and Howard Schneider; Editing by Paul Simao)

California, Ohio order nightly curfews on gatherings as coronavirus surges

By Sharon Bernstein and Maria Caspani

SACRAMENTO, Calif. (Reuters) – California’s governor on Thursday imposed a curfew on social gatherings and other non-essential activities in one of the most intrusive of the restrictions being ordered across the country to curb an alarming surge in novel coronavirus infections.

The stay-at-home order will go into effect from 10 p.m. until 5 a.m. each day, starting Saturday night and ending on the morning of Dec. 21, covering 41 of California’s 58 counties and the vast majority of its population, Governor Gavin Newsom said.

“The virus is spreading at a pace we haven’t seen since the start of this pandemic, and the next several days and weeks will be critical to stop the surge,” Newsom, a Democrat, said in a statement announcing the measure a week before the Thanksgiving holiday.

A similar 10 p.m.-to-5 a.m. curfew order was issued on Thursday in Ohio and will remain in effect for the next 21 days, Governor Mike DeWine, a Republican, announced separately.

As in California, the Ohio curfew would not prohibit grocery stores from remaining open past 10 p.m., or keep restaurants from staying open late for takeout orders. Individuals would likewise be permitted to venture out for food, medical care, or other necessities, as well as to take a jog or walk a dog.

In California, the restriction essentially marks a return to the first-in-the-nation, statewide stay-home order that Newsom imposed in March, except it applies only during the designated curfew hours rather than around the clock.

Signs of a resurgent public health crisis have emerged more starkly across the country, with officials forced to retreat from tentative steps to normalize daily life during what had been a brief lull in the pandemic.

The U.S. Centers for Disease Control and Prevention issued a “strong recommendation” on Thursday that Americans refrain from traveling for the holiday.

Later in the day, President-elect Joe Biden emerged from a teleconference with a bipartisan group of 10 governors saying they had discussed a possible universal face-mask requirement – an idea Biden has strenuously advocated as a “patriotic duty.”

Biden also repeated he had no plans to impose a U.S. economic lockdown.

REIMPOSING RESTRICTIONS

Newsom and DeWine’s orders were among the most restrictive of various measures state and local government leaders nationwide have imposed on social and economic life this week as COVID-19 hospitalizations and deaths have soared heading into the winter, when more people congregate indoors.

Minnesota ordered a shutdown of restaurants, bars, fitness centers and entertainment venues from Friday until Dec. 18 at the earliest, as the state’s hospital intensive care units were being stretched to capacity.

The number of patients hospitalized with COVID-19 in the United States has jumped nearly 50% in the past two weeks, with more than 80,000 people being treated for the disease in hospitals across the country as of late Thursday, a Reuters tally showed, the most at any time during the pandemic.

The COVID-19 surge – and the refusal of some Americans to take it seriously as a real threat – has taken its toll on healthcare workers.

“I think that we’re exhausted. We feel alone, alienated and hearing people not being supportive or compassionate – in fact, saying that we’re in some conspiracy – is incredibly painful,” Mariam Torossian, a pulmonary critical care physician at Providence Saint Joseph’s Medical Center in Burbank, California.

The U.S. death toll from COVID-19 surpassed 250,000 on Wednesday, with more than 2,000 additional lives lost as of Thursday, and public health experts projecting the cumulative number could climb well above 400,000 by March.

More than 20 states have adopted new mandates this month to confront the mounting crisis.

Newsom, a first-term Democrat, warned that “more stringent actions” may be necessary in California, the most populous U.S. state with some 40 million residents, if the latest efforts to blunt the contagion fall short.

Still, Republican state Assemblyman James Gallagher branded the governor’s curfew “arbitrary,” saying it would “further decimate struggling businesses that already face some of the toughest hurdles in the country.”

Sacramento County Sheriff Scott Jones, also a Republican, said he would not enforce it.

NEW YORK SCHOOLS, RESTAURANTS

New York City’s public school system, the nation’s largest, halted in-class instruction due to rising infection rates just weeks after allowing its 1.1 million students back into classrooms on a part-time basis.

Mayor Bill de Blasio defended his decision to close the schools as a necessary but temporary measure, and said he expects the state to shut down indoor restaurant dining and gyms in the city “within a week or two” given rising infection rates.

Still, working parents voiced exasperation at the hardships it placed on them and the emotional toll on their children.

“I am sick, as a working mom, of waiting, checking Twitter to see if schools are going to be open tomorrow and how to juggle my work responsibilities and tell my daughter again to buck up,” Natalia Petrzela, whose 8-year-old attends public school in the city, told Reuters.

The Northeast, which for months had maintained low infection rates after being the epicenter of the pandemic in the spring, has experienced the highest percentage jump in hospitalizations at 85% over the past 14 days, according to Reuters data. During that same period, hospitalizations in the Midwest have risen 57%, in the West by 50%, and in the South by 34%.

In the nation’s capital, the Smithsonian Institution announced it would close its museums and the National Zoo beginning on Monday, with no set reopening date.

Looking further ahead, Pennsylvania officials announced that crowds will not be permitted to attend annual Groundhog Day festivities in Punxsutawney, Pennsylvania, on Feb. 2.

(Reporting by Maria Caspani, Gabriella Borter and Sharon Bernstein; Additional reporting by Anurag Maan, Rich McKay, Susan Heavey, Angela Moore and Rollo Ross; Writing by Steve Gorman and Gabriella Borter; Editing by Bill Berkrot, Bill Tarrant and Daniel Wallis)

Britain hopes Christmas can be saved as COVID cases flatten

LONDON (Reuters) – Britain could ease stringent COVID-19 rules to allow families to gather for Christmas as signs indicate that coronavirus cases are starting to flatten as a result of current lockdowns, Health Secretary Matt Hancock said on Friday.

The United Kingdom has the worst official COVID-19 death toll in Europe and Prime Minister Boris Johnson has imposed some of the most stringent curbs in peacetime history in an attempt to halt the spread of the coronavirus.

But heading into the holiday season, the government faces a dilemma – to ease restrictions, with the risk of renewed spread of the disease and death, or to ban large get-togethers.

“It of course won’t be like a normal Christmas, there will have to be rules in place,” Hancock told Sky News.

He said he hoped that restrictions, which include a strict lockdown in England, could be eased to “allow for a bit more of that normal Christmas that people really look forward to”.

Hancock said he was working with the devolved administrations in Scotland, Wales and Northern Ireland – which manage their own policies on combating the pandemic – for a UK-wide approach to rules for Christmas.

The head of London’s Metropolitan Police, Cressida Dick, said that while police might try to stop wild parties, there were better uses of police time than trying to catch families out.

“Let’s see what the rules are, but I have no interest in interrupting family Christmas dinners,” she told LBC radio.

There was some sign that infection numbers were flattening. The Office for National Statistics said incidence had levelled off in recent weeks, with daily infections increasing by 38,900 in England in the latest week, down from around 50,000 previously.

The government also reduced their estimate of the reproduction “R” number, and said the daily growth rate had fallen to between 0% and 2%.

England has been under lockdown for two weeks. It is due to end on Dec. 2, although ministers have not ruled out that it could be extended.

Scotland’s biggest city Glasgow and parts of the nation’s west and central regions begin a stricter lockdown regime on Friday to last until Dec. 11, including the closure of pubs and restaurants and non-essential shops.

(Reporting by Alistair Smout, Sarah Young, Kate Holton and Michael Holden, editing by Guy Faulconbridge and Angus MacSwan)

Tyson Foods suspends employees after lawsuit alleges managers bet on workers catching COVID-19

By Tom Polansek

CHICAGO (Reuters) – Tyson Foods Inc. said on Thursday it suspended employees without pay and hired former U.S. Attorney General Eric Holder to conduct an investigation in response to a wrongful death lawsuit that alleges managers at an Iowa pork plant took bets on how many employees would catch COVID-19.

The coronavirus pandemic has ravaged the meatpacking industry, infecting thousands of workers since the spring and forcing companies like Tyson, Smithfield Foods and JBS to shut slaughterhouses hit by outbreaks.

The son of a worker at a Tyson facility in Waterloo, Iowa, who died in April of complications from the virus, filed a lawsuit that claims plant managers misled workers about COVID-19 and allowed sick employees to continue working.

The worker, Isidro Fernandez, got sick because of his job, according to the lawsuit that was amended on Nov. 11.

The Waterloo facility is Tyson’s largest U.S. pork plant, processing 19,500 hogs a day, or about 5% of total U.S. pork production.

COVID-19 infected more than 1,000 employees out of about 2,800 at the plant, and five died, the lawsuit says. Tyson idled the plant in late April because of an outbreak.

Earlier that month, manager Tom Hart “organized a cash buy-in, winner-take-all meatpacking industry for supervisors and managers to wager how many employees would test positive for COVID-19,” according to the lawsuit.

Hart could not immediately be reached for comment.

Tyson said it suspended employees involved in the accusations and retained the law firm Covington & Burling to conduct an independent investigation led by Holder.

“If these claims are confirmed, we’ll take all measures necessary to root out and remove this disturbing behavior from our company,” the company said.

The Iowa Capital Dispatch first reported on the betting allegations in the lawsuit on Wednesday.

“This shocking report of supervisors allegedly taking bets on how many workers would get infected, pressuring sick workers to stay on the job, and failing to enforce basic safety standards, should outrage every American,” said Marc Perrone, president of the United Food & Commercial Workers International Union.

(Reporting by Tom Polansek; Editing by Bill Berkrot)

Federal judge stays execution of lone woman on federal death row

By Sarah N. Lynch

WASHINGTON (Reuters) – A federal judge on Thursday agreed to briefly stay the execution of Lisa Montgomery, the lone woman on federal death row, after her attorneys fell ill with COVID-19 and were unable to file a timely clemency petition on her behalf.

U.S. District Judge Randolph Moss said that though his order will temporarily stay the execution, now slated for Dec. 8, it will “not enjoin any government official, including the President,” from taking any adverse action on her request for a reprieve.

He added that if her lawyers are not able to file her clemency request by Dec. 24, then they must have other counsel appointed on her behalf.

His ruling came after a hearing earlier this week, where Moss had at times appeared skeptical on whether to grant Montgomery more time to petition for clemency.

Montgomery, now 52, was convicted in 2007 of kidnapping and strangling Bobbie Jo Stinnett, who was eight months pregnant. Montgomery then cut the baby, who survived the attack, out from the womb.

Both her lead clemency attorneys, Kelley Henry and Amy Harwell, have been too sick with COVID-19 to prepare and file her petition.

Her lawyers had said that Montgomery has long suffered from severe mental illness and was the victim of sexual assault, including gang rape.

“The district court’s ruling gives Lisa Montgomery a meaningful opportunity to prepare and present a clemency application after her attorneys recover from COVID,” said Sandra Babcock, one of her attorneys, in a statement in response to Thursday’s ruling.

(Reporting by Sarah N. Lynch; Editing by Aurora Ellis)

U.S. coronavirus wildfire hitting jobs as broad recovery trudges on

By Howard Schneider

WASHINGTON (Reuters) – The most intense U.S. coronavirus outbreak yet appears to have slowed hiring and may have begun to drag on retail spending on the cusp of the holiday shopping season, even as overall economic activity proves more resilient than in the spring.

But that uneasy coexistence – wildfire-like spread of a deadly disease with an economy that remains largely open – may be tested in coming weeks if face mask mandates and lighter-touch restrictions imposed by local governments fail to curb the spread of COVID-19. Infections are growing by more than 1 million a week, according to data from the COVID Tracking Project, and the week-to-week percentage change is rising too.

Some local governments are taking more aggressive steps, with New York City again closing schools, and in a rare federal response from the “lame-duck” administration of President Donald Trump, the U.S. Centers for Disease Control and Prevention urged Americans not to travel for next week’s Thanksgiving holiday, which typically sees tens of millions on the move.

Most states, though, are moving gingerly, curbing restaurant hours or seating capacity, but not shuttering nonessential businesses like during the early months of the U.S. outbreak in the spring.

Still, the surge in cases appears to have capped the U.S. economic rebound, according to high-frequency data tracked by economists for real-time evidence about the recovery.

Employment at a sample of mostly small businesses from time management firm Homebase declined for a fourth week, and shifts worked across different industries fell, according to time management firm UKG.

“The uncertainty that exists right now and has existed really since mid-summer is making it really hard for business owners to think about growth,” said David Gilbertson, UKG vice president for strategy and operations. “We seem to take one step forward, and then one step back.”

The decline in shifts from mid-October to mid-November likely points to a weakening jobs report in November, he said.

LOOKING ‘GRIM’

Since the spring’s catastrophic drop in employment, the economy has clawed back about half of the more than 20 million lost positions. But momentum is slowing, and last week the number of new claims for unemployment insurance rose for the first time in about a month.

An index of new job postings from analytics firm Chmura as of August had reached a high of 85% of the level predicted in the absence of the pandemic, but is now at 67%.

Workers may be in for a “grim” period, said AnnElizabeth Konkel, economist at Indeed Hiring Lab, whose index of job postings remains 13% below 2019 levels. Holiday hiring is largely complete, and unemployment benefits are expiring for many of those out of work since the spring, a lapse that may finally be weighing on national data.

Initially, the flood of government support increased incomes for many families and supported consumer spending. Data on 30 million JPMorgan debit- and credit-card customers, however, showed spending fell “notably” in early November from a level just 2.7% below 2019 to 7.4% below last year, said JPMorgan economist Jesse Edgerton.

Declines were sharper in places where COVID-19 was spreading more rapidly but were still widespread, suggesting “a broader pullback in spending,” Edgerton wrote. U.S. retail sales in October also grew less than expected.

That and other data indicate an outright decline in jobs in November versus October, Edgerton said, evidence that millions left jobless by the pandemic face a long road back to normal.

SOME IMPROVEMENTS

Vaccine prospects, however, “represent a ray of light at the end of the tunnel,” said Gregory Daco, chief U.S. economist at Oxford Economics. Oxford recovery tracker rose slightly last week, snapping a five-week skid, a sign that the scale of economic collapse seen in the spring is not in the offing.

Data from OpenTable showed a slight rise in diners seated at restaurants over the past week even as new limits were imposed.

Some Federal Reserve officials have noted how businesses, particularly in manufacturing, construction and some parts of the retail sector, have adapted to operating during the pandemic. A New York Fed weekly index projecting growth in gross domestic product has risen steadily since the recession began.

But Oxford’s index and other data have also remained largely stalled, well below pre-pandemic levels. Data tracking cellphone movement from Unacast, for example, has shown no upward trend since summer.

That may remain the case until vaccines are rolled out to enough people to make a difference.

Meanwhile, “the recovery is becoming entrenched in a low-growth mode, and we are worried about signs of lasting economic damage,” Daco wrote.

(Reporting by Howard Schneider; Editing by Dan Burns and Paul Simao)

U.S. disease experts: Don’t travel for Thanksgiving

By Rebecca Spalding and Manojna Maddipatla

(Reuters) – The Centers for Disease Control and Prevention on Thursday urged Americans not to travel during next week’s Thanksgiving holiday to mitigate the spread of the coronavirus as cases of COVID-19 spike around the United States.

The travel advice is a “strong recommendation,” not a requirement, CDC official Henry Walke said on a call with reporters. The federal agency said it was making the recommendation after many states across the country experienced a surge in coronavirus cases in recent weeks.

“We’re alarmed with the exponential increase in cases, hospitalizations, and deaths,” Walke said.

The CDC advised against gathering with anyone who has not lived in the same household for at least 14 days, the incubation period for the coronavirus. Officials said they were also posting recommendations on their website on how to stay safe during the holidays for those Americans who do choose to travel.

“It is the right advice. We are in a major surge in the U.S. with hospitals inundated,” Dr. Amesh Adalja, senior scholar at the Johns Hopkins Center for Health Security, said at a Reuters forum. “There are some that will travel nonetheless, but, hopefully, they will put in place some common-sense measures to limit the damage the virus can cause.”

While the CDC recommended virtual gatherings, for those who do gather in person, guests should bring their own food and utensils and celebrate outdoors if possible, it said.

If celebrating indoors, it recommends that Americans open windows and put fans in front of open windows to pull fresh air into the room where guests are sitting. It also suggests limiting the number of people near where food is being prepared.

The Wednesday before Thanksgiving is typically the busiest travel day of the year in the United States, as Americans gather with friends and family around the country. Shares in airlines and hotel companies have plummeted since the outbreak began as government officials have advised against unnecessary travel.

The AAA travel agency has said it anticipates at least a 10 percent drop in the number of travelers this Thanksgiving, the largest single-year drop since 2008. Based on its October models, it forecasts 50 million Americans will travel for the holiday, compared with 55 million in 2019.

With the CDC recommendations, it expects that number now to be even lower.

United Airlines, American Airlines and Southwest Airlines each said on Thursday that bookings were weakening due to the spike in COVID-19 cases, and United said cancellations were rising.

(Reporting by Rebecca Spalding, Tracy Rucinski, David Shepardson and Lisa Pauline Mattackal; Editing by Chizu Nomiyama, Jonathan Oatis and Peter Henderson)