Blip or bad moon rising? Fed meets amid COVID-19 surge, inflation jitters

By Howard Schneider

WASHINGTON (Reuters) – The Federal Reserve will conclude its latest policy meeting on Wednesday weighing the risks of a COVID-19 resurgence in the United States and a potentially slower economic recovery against a developing inflation threat that had been its main focus.

Fed officials are expected to continue their debate over when to wean the economy from the measures put in place more than a year ago to fight the pandemic’s economic aftershock, and in particular to discuss when to reduce the $120 billion in Treasury bonds and mortgage-backed securities the U.S. central bank is buying each month to hold down long-term interest rates.

But that discussion, begun in earnest just six weeks ago when U.S. cases of COVID-19 were falling under the influence of vaccinations, has been complicated by the rapid spread of the more infectious Delta variant of the virus, the renewal of crisis conditions in some hospitals, and reinstated mask mandates in some cities.

Though focused mostly on the 40% of the adult U.S. population that remains unvaccinated, the current outbreak nevertheless raises fresh tensions for the Fed over whether planning to fend off inflation should be the top concern at a time when the health crisis may yet curb an otherwise ebullient recovery.

“Sadly, (Fed Chair Jerome) Powell will have to acknowledge the downside risks that are beginning to emerge,” Diane Swonk, chief economist at Grant Thornton, wrote ahead of the Fed’s two-day policy meeting this week. “The question mark is how spread of the Delta variant affects the return to work and whether it dampens some of the demand for services” that had begun to lead the recovery and pull millions of sidelined people back into jobs.

The economy still is 6.8 million jobs short of where it was before the pandemic’s onset in early 2020, and Powell has said the country remains “a ways off” from the progress he wants to see before changing any of the Fed’s efforts at encouraging job growth. Powell will hold a news conference following the 2 p.m. EDT (1800 GMT) release of the Fed’s latest policy statement.

INFECTIONS AND INFLATION

The Fed remains in full crisis-fighting mode more than 16 months into a national state of emergency, continuing to hold its benchmark overnight interest rate near zero and buying bonds at a pace some policymakers have begun to question openly as too aggressive. Inflation is taking off, they note, and housing prices have hit record highs thanks in part to the relatively low interest rates on home mortgages.

To avoid bigger problems down the road the Fed should pull back “sooner rather than later,” Dallas Fed President Robert Kaplan said after the June 15-16 policy meeting. St. Louis Fed President James Bullard has voiced similar sentiments – only to see Missouri’s second-biggest city reimpose an indoor mask mandate amid a rapid coronavirus outbreak in the state.

Nationally, daily infections have risen about fourfold since the Fed met in June, making what had seemed a straightforward process – a turn from fighting recession to managing the rising prices and other risks of a strong recovery – into a more nuanced debate over how to continue planning for the pandemic’s end while also acknowledging its persistence.

A new Reuters poll showed 160 of 202 economists, or about 80%, said the spread of new coronavirus variants was the biggest risk to the recovery.

The latest surge in cases has not shown up clearly yet in the economic data. Consumer confidence remains high and people are still boarding planes and heading to restaurants.

Still, Bank of America analysts recently drew a cautionary tale from Michigan, where a wave of infections in February appeared to dent hiring and consumer spending.

“So far we have seen little evidence of the Delta variant significantly affecting economic activity or spending on services,” those analysts wrote. But “we have good reason to be concerned about the current outbreak and what it means.”

TAPER TALK CONTINUES

Amid those risks, there’s also no guarantee that inflation will fade on a timetable within the Fed’s comfort zone – possibly leaving the central caught between slower growth and rising prices, the worst of both worlds.

A new Fed framework ostensibly allows inflation to run above the central bank’s formal 2% target to give the economy more room to generate jobs.

That approach, however, was designed after a decade of low inflation, and on an expectation the chief challenge would be raising the weak pace of price increases. Yet as of May, with the world economy beset by supply-chain problems and other challenges tied to the economic reopening, the Fed’s preferred inflation measure was nearly twice the target rate.

If that trend continues “they would have to say at some point ‘we do have to remove accommodation’ … and they could not wait for maximum employment” before raising interest rates, as their current policy pledges to do, said Bill English, a Yale School of Management professor and former head of the Fed’s monetary affairs division.

For that reason alone, Fed planning over how to reduce its bond-buying program is expected to continue. The central bank wants the monthly purchases to end before considering an interest rate increase, and the process of tapering them could take perhaps a year to complete – a lengthy runway if inflation persists and rate increases become more urgent.

Officials have also promised ample advance notice before actually making any change, adding more months to the timetable.

So far, officials are not foreclosing any option. Market analysts say they expect the Fed to clarify its plans for ending the bond-buying in the fall, and perhaps begin reducing purchases early next year.

That presumes U.S. hiring continues, and that travel, dining out, and other close-contact social activities also recover.

In an update to its World Economic Outlook, the International Monetary Fund on Tuesday raised its forecast for U.S. growth in 2021 to a torrid 7%. But in a related blog, Gita Gopinath, the IMF’s chief economist, cautioned central banks not to be distracted into “prematurely tightening policies” by a rise in inflation that was expected to fade on its own.

“The recovery is not assured until the pandemic is beaten back globally,” she wrote.

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

U.S. CDC recommends vaccinated Americans wear masks indoors in many cases

By David Shepardson and Julie Steenhuysen

WASHINGTON (Reuters) -Americans fully vaccinated against COVID-19 should go back to wearing masks in indoor public places in regions where the coronavirus and especially the Delta variant are spreading rapidly, U.S. authorities said on Tuesday.

The U.S. Centers for Disease Control and Prevention (CDC) also recommended all students and teachers at kindergarten through 12th grade schools wear masks regardless of vaccination status. The CDC said children should return to full-time, in-person learning in the fall with proper prevention strategies.

The changes mark a reversal of the CDC’s announcement in May that prompted millions of vaccinated Americans to shed their face coverings.

The United States leads the world in the daily average number of new infections, accounting for one in every nine cases reported worldwide each day. The seven-day average for new cases has been rising sharply and stands at 57,126, still about a quarter of the pandemic peak.

“In areas with substantial and high transmission, CDC recommends that fully vaccinated individuals wear a mask in public indoor settings to help prevent spread of Delta and protect others,” the agency said.

The CDC said that 63% of U.S. counties had high transmission rates that warranted mask wearing. The Delta variant is highly transmissible.

In May, the agency advised that fully vaccinated people do not need to wear masks outdoors and can avoid wearing them indoors in most places, guidance the agency said would allow life to begin to return to normal.

Dr. David Doudy, an epidemiologist at Johns Hopkins University, said the CDC guidance was motivated by a change in infection patterns. “We’re seeing this doubling in the number of cases every 10 days or so,” he said.

‘A NECESSARY PRECAUTION’

American Federation of Teachers President Randi Weingarten praised the new CDC mask guidance in a statement, saying it was needed “to deal with the changing realities of virus transmission.”

She called it “a necessary precaution until children under 12 can receive a COVID vaccine and more Americans over 12 get vaccinated.”

The new CDC recommendations are not binding and many Americans, especially in Republican-leaning states, may choose not to follow them. At least eight states bar schools from requiring masks.

Dr. Isaac Weisfuse, a medical epidemiologist and adjunct professor at Cornell University Public Health, said resistance was likely among some people. “I think we will get blowback because I think people might view it as backtracking,” he said.

On Monday, the Biden administration confirmed it will not lift any existing international travel restrictions, citing the rising number of COVID-19 cases and the expectation that they will continue to rise in the weeks ahead.

Masks became a political issue in the United States under former President Donald Trump, who resisted mandating face coverings. President Joe Biden has embraced masks and mandated them for transit hubs days after taking office.

(Reporting by David Shepardson; Additional reporting by Nandita Bose; Editing by Rosalba O’Brien, Bill Berkrot and Cynthia Osterman)

New York City, California mandate COVID-19 vaccines for government workers

By Gabriella Borter and Maria Caspani

NEW YORK (Reuters) – California and New York City will require government workers to get vaccinated against COVID-19 or be regularly tested for the virus, officials said on Monday, signaling a new level of urgency in their effort to stem a wave of infections caused by the Delta variant.

New York City Mayor Bill de Blasio said on Monday that the city would require its more than 300,000 employees to get vaccinated by Sept. 13 or else get tested weekly. His announcement came a week after the city passed a vaccine mandate for all healthcare workers at city-run hospitals and clinics.

A few hours later, California Governor Gavin Newsom said that all state employees, some 246,000 people, would be required to get vaccinated starting in August or else be subjected to COVID-19 testing on a minimum weekly basis.

“We’re at a point now in this pandemic where an individual’s choice to not get vaccinated is impacting the rest of us,” Newsom told a press conference on Monday.

Federal and local officials have been warning about a rise in COVID-19 cases with increasing urgency in recent weeks. Across the country, many have aggressively emphasized the importance of getting vaccinated – including some Republican leaders who previously refrained from openly endorsing the vaccines.

On Monday, the Department of Veterans Affairs became the first federal agency to require its employees to get vaccinated.

The mandates this week mark the boldest efforts yet by government agencies to curb the country’s outbreak caused by the highly transmissible Delta variant of COVID-19, which was first found in India earlier this year.

The Delta variant has quickly caused case numbers to spike after the United States enjoyed a drop-off in cases and hospitalizations when vaccines became widely available in the spring.

The Delta variant has also delayed any consideration by the United States to lift existing travel restrictions in the near future, a White House official told Reuters.

At this point, the sharpest increases in COVID-19 cases are in places with lower vaccination rates. Florida, Texas and Missouri account for 40% of all new cases nationwide, with around one in five of all new U.S. cases occurring in Florida, White House adviser Jeffrey Zients said last week.

Just under 50% of the U.S. population is fully vaccinated, according to the U.S. Centers for Disease Control and Prevention (CDC).

The number of vaccine doses administered daily peaked at 4.63 million on April 10, according to CDC data, and it has stagnated and declined since.

On Sunday, the CDC reported an uptick in the number of vaccine doses administered in a day – 778,996, the most given in a 24-hour period since the United States reported giving 1.16 million doses on July 3.

MANDATE RESISTANCE

COVID-19 vaccine and testing mandates remain a point of contention and have already sparked legal opposition in the case of public universities. Opponents see them as a violation of individual rights.

But officials have justified them because the vaccines have proven to be safe and dramatically reduce people’s risk of hospitalization and death from the virus.

Some 57 medical associations on Monday published a statement calling for all healthcare and long-term care employers in the United States to require their employees to get vaccinated, calling it “the logical fulfillment of the ethical commitment of all healthcare workers to put patients as well as residents of long-term care facilities first.”

New York City’s largest public employee union, DC 37, took legal issue with the city’s mandate on Monday.

“If City Hall intends to test our members weekly, they must first meet us at the table to bargain. While we encourage everyone to get vaccinated and support measures to ensure our members’ health and wellbeing, weekly testing is clearly subject to mandatory bargaining,” Executive Director Henry Garrido said in a statement.

De Blasio cited the Delta variant as the city’s reason for moving beyond promoting voluntary vaccination.

“It was one thing to start with a heavy voluntary focus in the beginning and then incentive focus, but it’s quite clear the Delta variant has changed the game,” he said.

(Reporting by Gabriella Borter, Maria Caspani, Jan Wolfe and David Shepardson; Editing by Andrea Ricci)

People with allergic reaction to mRNA vaccines can get 2nd dose; Delta viral load over 1,000 times higher

By Nancy Lapid

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

Most with allergy to first mRNA shot can get second dose

Most people with allergic reactions to the first dose of an mRNA COVID-19 vaccine from either Pfizer/BioNTech or Moderna can safely receive the second dose, a new study shows. The rates of allergic reactions to these vaccines have been reported to be as high as 2%, with anaphylaxis, the most serious kind, occurring in up to 2.5 of every 10,000 vaccine recipients, the researchers said. They reviewed data on 189 adults with first-dose reactions to one of these vaccines, such as flushing, dizziness or lightheadedness, tingling, throat tightness, hives, and wheezing or shortness of breath. Most of these adults – 84% – received the second dose of the vaccine, with about a third taking an antihistamine beforehand. All of them tolerated the second dose, including those with first-dose anaphylactic reactions. Any potentially allergic symptoms that developed after the second dose were mild and easily controlled, the researchers reported on Monday in JAMA Internal Medicine. “Complete two-dose vaccination has become even more important with the Delta variant and we suspect there are many more people who did not get their second shot because of allergic symptoms,” said coauthor Dr. Matthew Krantz from Vanderbilt University. “Our data suggest that most patients with immediate and potentially allergic reactions to mRNA COVID-19 vaccines tolerate a second dose,” his team concluded.

Delta viral load 1,000 times higher than original virus

Chinese researchers tracking a recent COVID-19 outbreak in China found that people infected with the Delta variant carry 1,260 times more virus in their noses compared to those infected in the first wave of the pandemic. The higher load means the virus spreads far more easily from person to person, increasing infections and hospitalizations, they reported ahead of peer review in a paper first posted on medRxiv earlier in July and updated on Friday. The interval between when people were exposed to infected individuals and when they themselves were diagnosed decreased from an average of 6 days in 2020 to 4 days during the Delta outbreak, the researchers found. The Delta variant is “outcompeting all other viruses because it just spreads so much more efficiently,” said Shane Crotty of the La Jolla Institute for Immunology in San Diego, who was not involved in the Chinese study. In the United States, Delta accounts for about 83% of new infections, with unvaccinated people representing nearly 97% of severe cases.

Popular antacids not linked to severe COVID-19 outcomes

Widely-used antacid medications known as proton pump inhibitors (PPIs) are not linked with severe COVID-19 outcomes, a new study found. Researchers with the U.S. Veterans Affairs Health Care System analyzed data on nearly 15,000 veterans with positive COVID-19 tests, about 42% of whom were using PPIs such as Procter & Gamble’s Prilosec (omeprazole), Takeda Pharmaceuticals’ Prevacid (lansoprazole), and AstraZeneca’s Nexium (esomeprazole). After taking patients’ underlying COVID-19 risk factors into account, the risk of becoming sick enough to need mechanical ventilation or to die within two months of diagnosis was no different between regular PPI users and non-users, the researchers reported on Sunday on medRxiv ahead of peer review. “With respect to COVID-19,” the researchers concluded, “patients and providers should feel safe to continue to use PPIs at the lowest effective dose for approved indications.”

(Reporting by Nancy Lapid and Julie Steenhuysen; Editing by Bill Berkrot)

How the Delta variant upends assumptions about the coronavirus

By Julie Steenhuysen, Alistair Smout and Ari Rabinovitch

(Reuters) – The Delta variant is the fastest, fittest and most formidable version of the coronavirus that causes COVID-19 the world has encountered, and it is upending assumptions about the disease even as nations loosen restrictions and open their economies, according to virologists and epidemiologists.

Vaccine protection remains very strong against severe disease and hospitalizations caused by any version of the coronavirus, and those most at risk are still the unvaccinated, according to interviews with 10 leading COVID-19 experts.

But evidence is mounting that the Delta variant, first identified in India, is capable of infecting fully vaccinated people at a greater rate than previous versions, and concerns have been raised that they may even spread the virus, these experts said.

As a result, targeted use of masks, social distancing and other measures may again be needed even in countries with broad vaccination campaigns, several of them said.

Israel recently reinstated mask-wearing requirements indoors and requires travelers to quarantine upon arrival.

U.S. officials are considering whether to revise mask guidance for the vaccinated. Los Angeles County, the most populous in the United States, is again requiring masks even among the vaccinated in indoor public spaces.

“The biggest risk to the world at the moment is simply Delta,” said microbiologist Sharon Peacock, who runs Britain’s efforts to sequence the genomes of coronavirus variants, calling it the “fittest and fastest variant yet.”

Viruses constantly evolve through mutation, with new variants arising. Sometimes these are more dangerous than the original.

The major worry about the Delta variant is not that it makes people sicker, but that it spreads far more easily from person to person, increasing infections and hospitalizations among the unvaccinated.

Public Health England said on Friday that of a total of 3,692 people hospitalized in Britain with the Delta variant, 58.3% were unvaccinated and 22.8% were fully vaccinated.

In Singapore, where Delta is the most common variant, government officials reported on Friday that three quarters of its coronavirus cases occurred among vaccinated individuals, though none were severely ill.

Israeli health officials have said 60% of current hospitalized COVID-19 cases are in vaccinated people. Most of them are age 60 or older and often have underlying health problems.

In the United States, which has experienced more COVID-19 cases and deaths than any other country, the Delta variant represents about 83% of new infections. So far, unvaccinated people represent nearly 97% of severe cases.

Dr. Monica Gandhi, an infectious diseases doctor at the University of California, San Francisco, said many vaccinated people are “so disappointed” that they are not 100% protected from mild infections. But the fact that nearly all Americans hospitalized with COVID-19 right now are unvaccinated “is pretty astounding effectiveness,” she said.

‘TEACHING US A LESSON’

“There is always the illusion that there is a magic bullet that will solve all our problems. The coronavirus is teaching us a lesson,” said Nadav Davidovitch, director of Ben Gurion University’s school of public health in Israel.

The Pfizer Inc/BioNTech vaccine, one of the most effective against COVID-19 so far, appeared only 41% effective at halting symptomatic infections in Israel over the past month as the Delta variant spread, according to Israeli government data. Israeli experts said this information requires more analysis before conclusions can be drawn.

“Protection for the individual is very strong; protection for infecting others is significantly lower,” Davidovitch said.

A study in China found that people infected with the Delta variant carry 1,000 times more virus in their noses compared with the original version first identified in Wuhan in 2019.

“You may actually excrete more virus and that’s why it’s more transmissible. That’s still being investigated,” Peacock said.

Virologist Shane Crotty of the La Jolla Institute for Immunology in San Diego noted that Delta is 50% more infectious than the Alpha variant first detected in the UK.

“It’s outcompeting all other viruses because it just spreads so much more efficiently,” Crotty said.

Genomics expert Eric Topol, director of the Scripps Research Translational Institute in La Jolla, California, noted that Delta infections have a shorter incubation period and a far higher amount of viral particles.

“That’s why the vaccines are going to be challenged. The people who are vaccinated have got to be especially careful. This is a tough one,” Topol said.

In the United States, the Delta variant has taken hold just as many Americans – vaccinated and not – have stopped wearing masks indoors.

“It’s a double whammy,” Topol said. “The last thing you want is to loosen restrictions when you’re confronting the most formidable version of the virus yet.”

The development of highly effective vaccines may have led many people to believe that once vaccinated, COVID-19 posed little threat to them.

“When the vaccines were first developed, nobody was thinking that they were going to prevent infection,” said Carlos del Rio, a professor of medicine and infectious disease epidemiology at Emory University in Atlanta. The aim was always to prevent severe disease and death, del Rio added.

The vaccines were so effective, however, that there were signs they also prevented transmission against prior coronavirus variants.

“We got spoiled,” he said.

(Reporting by Julie Steenhuysen in Chicago, Alistair Smout in London, Ari Rabinovitch and Maayan Lubell in Jerusalem; Editing by Will Dunham and Bill Berkrot)

As Americans navigate conflicting COVID-19 mask advice, ‘everyone is confused’

By Joseph Ax and Tim Reid

PRINCETON, N.J./SANTA MONICA, Calif. (Reuters) – A COVID-19 surge ignited in parts of the United States by the highly contagious Delta variant and vaccine hesitancy has led to new mask mandates and deep confusion among some people about which guidance to follow.

In Los Angeles County, leaders have reinstated an indoor mask mandate, even for the fully vaccinated. Officials in Houston and New Orleans also raised coronavirus alert levels this week and told people to mask up.

In Florida, however, Governor Ron DeSantis said on Thursday children will not be required to wear masks in school there this fall, arguing that “we need our kids to breathe.” Hours later, White House press secretary Jen Psaki told reporters: “If I were a parent in Florida, that would be greatly concerning to me.”

“Everyone is confused about what they should be doing,” said Daniel Blacksheare, a 20-year-old in Santa Monica, California, who said he was infected twice last year. “I don’t understand why we have to suddenly wear a mask again.”

The county sheriff in Los Angeles County said his department will not enforce the measure.

The conflicting advice from officials at city, county, state and federal levels of government comes as hospital officials in the harder-hit states with lower vaccination rates are sounding the alarm about their systems being overwhelmed.

The seven-day average of new COVID-19 cases in the United States is up 53% over the previous week, according to the Centers for Disease Control and Prevention on Thursday. The Delta variant makes up more than 80% of the new cases across the country.

Much of the guidance falls along the same political lines as earlier in the pandemic. Leaders in heavily Republican states generally eschew masks, and Democrats insist upon them.

Schools are a particular tension point nationwide. Children under age 12 are still not eligible for coronavirus vaccines, and many parents consider masks as the best remaining defense.

Yet as some areas return to the classroom in just a few weeks, there are wide divisions over whether children should be wearing masks in schools.

The American Academy of Pediatrics this week released updated recommendations for schools that included mask wearing for everyone over the age of 2, regardless of vaccination status. President Joe Biden said on Wednesday that unvaccinated children should wear masks in schools.

But the CDC on Thursday said it is not changing its mask guidance for schools, including that masks are only required for those over age 2 who have not been vaccinated. The CDC in May relaxed its guidance so that fully vaccinated people do not need to wear masks in most public spaces.

In Princeton, New Jersey, Ximena Skovron said she finds the dust-ups over masks and what the guidance actually is to be perplexing.

“I’m vaccinated, and the rules seem to change,” she said. “But it’s also inconsistent. You’ve got two grocery stores in town: one requires masks, one doesn’t.”

Skovron said she does not think states should reimpose mask mandates.

“Vaccines are readily available. The ability to protect yourself is there,” she said. “If you refuse, you should assume the risk instead of imposing on the rest of society.”

Her 6-year-old daughter will enter first grade this fall, and Skovron said she hopes the school does not require masks, citing the extremely low rate of serious COVID-19 incidence among small children.

“It just seems like such overkill for children to wear masks,” she said.

But Melissa Riccobono, 44, of Lawrenceville, New Jersey, said she is pro-mask and thinks there should be mandates when and where necessary.

“If you’re choosing not to vaccinate, that’s your choice, and I’m fine with that – but it’s not your choice whether to wear a mask,” she said.

(Reporting by Tim Reid in Santa Monica, California, and Joseph Ax in Princeton, New Jersey; Additional reporting by Brad Brooks in Lubbock, Texas, and Carl O’Donnell in Washington; Editing by Colleen Jenkins and Grant McCool)

1.5 million children have lost parents to pandemic; potential brain gateway for virus found

By Nancy Lapid

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

1.5 million children lost parents to COVID-19 so far

During the first 14 months of the pandemic, an estimated 1.5 million children worldwide experienced the death of a parent, custodial grandparent, or other relative who cared for them, as a result of COVID-19, according to a study published in The Lancet on Tuesday. The orphanhood estimates are drawn from mortality data from 21 countries that account for 77% of global COVID-19 deaths and from the United Nations Population Division. “For every two COVID-19 deaths worldwide, one child is left behind to face the death of a parent or caregiver,” Dr. Susan Hillis from the U.S. Centers for Disease Control and Prevention COVID-19 Response Team, who led the study, said in a statement. The number of COVID-19 orphans will increase as the pandemic progresses, she added. There is an urgent need to prioritize these children and “support them for many years into the future,” Hillis said. Said study coauthor Lucie Cluver of Oxford University: “And we need to respond fast because every 12 seconds a child loses their caregiver to COVID-19.”

Potential brain gateway found for coronavirus

Researchers have found a potential route of entry for the coronavirus into the human brain that may help explain the effects of COVID-19 on the brain and nervous system that have plagued many patients. To date there is no evidence that the virus directly infects neurons – the brain cells that receive and send messages to and from the body. In a new study, experimenting with an artificially grown mass of cells created to resemble the brain, researchers found that neurons seemed “impervious” to the coronavirus, said Joseph Gleeson of the University of California, San Diego. But cells called pericytes, which wrap around blood vessels and carry the surface protein the virus uses for entry, proved to be a different story. When researchers added pericytes to their artificial brain and then added the virus, “we found incredibly robust infection,” not just of the pericytes but also of the neurons, Gleeson said. They report in Nature Medicine that the pericytes served as “factories” for the virus, from which it could multiply. The primary targets were astrocytes, which have crucial roles in regulating the brain’s electrical impulses, providing neurons with nutrients, and maintaining the “blood-brain barrier” that shields the brain from foreign substances. The findings, Gleeson said, suggest “pericytes could serve as an entry point for SARS-CoV-2,” which could either lead to local increases in the virus or to inflammation of blood vessels that can cause stroke.

Vaccine boosters not yet needed, researchers say

Two doses of an mRNA vaccine from Pfizer/BioNTech or Moderna are effective at neutralizing the highly contagious Delta variant of the coronavirus that is or will soon be dominant in most places, suggesting immediate booster doses are not likely needed, researchers said. They did not measure the vaccines’ ability to protect against infection in the real world. In their lab experiments using blood samples from vaccinated volunteers, however, Delta’s mutations caused only low reductions in the proportion of antibodies that could neutralize the virus, they said. Mutations in the less prevalent Beta and Gamma variants reduced antibody neutralization capacity more significantly, but not to a point where vaccine recipients would appear to be unprotected, the researchers reported on Sunday in a paper posted on medRxiv ahead of peer review. Vaccine boosters may be needed in the future to help overcome some variants, coauthor Akiko Iwasaki of Yale University said in a tweet on Tuesday. Her team also found that overall, neutralizing antibody levels after vaccination were higher in COVID-19 survivors than in uninfected vaccine recipients. “This is not surprising,” Iwasaki told Reuters, “because infection itself induces immune responses, which were boosted by the two doses of vaccines.”

(Reporting by Nancy Lapid; Editing by Bill Berkrot)

Factbox: Countries make COVID-19 vaccines mandatory

(Reuters) – A sharp upturn in new coronavirus infections due to the highly contagious Delta variant and a slowdown in vaccination rates have pushed governments to make COVID-19 jabs mandatory for health workers and other high-risk groups.

A growing number of countries also stipulate that a jab, or a negative test, will be needed for dining out, among others.

Here are some countries’ vaccine mandates:

AUSTRALIA

Australia decided in late June to make COVID-19 vaccinations mandatory for high-risk aged-care workers and employees in quarantine hotels.

It has also made vaccinations obligatory for Paralympic athletes heading to Tokyo because unvaccinated members on the team could pose a health risk.

BRITAIN

It will be mandatory for care home workers in England to have coronavirus vaccinations from October.

English nightclubs and other venues with large crowds will require patrons to present proof of full vaccination from the end of September.

CANADA

Canadian Treasury Board Secretariat said on July 20 it was considering whether COVID-19 vaccines should be required for certain roles and positions in the federal government, according to CBC.

FRANCE

All health workers in France must get COVID-19 jabs and anyone wanting to get into a cinema or board a train will need to show proof of vaccination or a negative test under new rules announced by President Emmanuel Macron on July 12.

The government said on July 19 that the planned 45,000 euro fine for businesses that do not check that clients have a health pass will be much lower, starting at up to 1,500 euros and increasing progressively for repeat offenders. Fines will not be imposed immediately.

GREECE

Greece on July 12 made vaccinations mandatory for nursing home staff with immediate effect and healthcare workers from September. As part of new measures, only vaccinated customers are allowed indoors in bars, cinemas, theatres and other closed spaces.

INDONESIA

Indonesia made COVID-19 inoculations mandatory in February, with capital Jakarta threatening fines of up to 5 million rupiah ($357) for refusing the vaccine.

ITALY

A decree approved by the Italian government in March mandates that health workers, including pharmacists, get vaccinated. Those who refuse could be suspended without pay for the rest of the year.

KAZAKHSTAN

Kazakhstan will introduce mandatory COVID-19 vaccinations or weekly testing for people working in groups of more than 20, the health ministry said on June 23.

POLAND

Poland could make vaccinations obligatory for some people at high risk from COVID-19 from August.

RUSSIA

The Russian capital has unveiled a plan requiring 60% of all service sector workers to be fully vaccinated by Aug. 15, according to the Moscow Times.

Moscow residents no longer have to present a QR code demonstrating they have been vaccinated or have immunity in order to sit inside cafes, restaurants and bars from July 19.

SAUDI ARABIA

In May, Saudi Arabia mandated all public and private sector workers wishing to attend a workplace get vaccinated, without specifying when this would be implemented.

Vaccination will also be required to enter any governmental, private, or educational establishments and to use public transportation as of Aug. 1.

Saudi citizens will need two COVID-19 vaccine doses before they can travel outside the kingdom from Aug. 9, state news agency SPA reported on July 19, citing the ministry of interior.

TURKMENISTAN

Turkmenistan’s healthcare ministry said on July 7 it was making COVID-19 vaccination mandatory for all residents aged 18 and over.

(Compiled by Paulina Cwikowska, Dagmarah Mackos and Oben Mumcuoglu; editing by Milla Nissi and Steve Orlofsky)

U.S. coronavirus cases rise, fueling fears of resurgence

By Maria Caspani

NEW YORK (Reuters) – A rapid increase in coronavirus cases in the United States and abroad is fueling fears of a pandemic resurgence and sending shockwaves through the stock market as the highly contagious Delta variant takes hold and vaccinations lag in several states.

Largely due to outbreaks in parts of the country with low vaccination rates, the number of new cases, hospitalizations and deaths due to COVID-19 have been on the rise in recent weeks.

The vaccines work against the Delta variant, but lab tests have shown them to be less effective than they were against the original form of coronavirus.

Studies have also shown that two shots of the Pfizer/BioNTech vaccine and of the AstraZeneca vaccine are much more effective than one shot against being infected with the virus, making it more important for people to be fully vaccinated.

Concerns the outbreaks could derail an economic recovery sent the Dow down more than 2% on Monday.

In a speech about the U.S. economy, President Joe Biden said the recovery hinges on getting the pandemic under control. He said four states with low vaccination rates accounted for 40% of all cases last week.

“So please, please get vaccinated,” Biden said. “Get vaccinated now.”

The average number of new COVID-19 cases per day has tripled in the past 30 days in the United States, according to an analysis of Reuters data. In the month from June 18 to Sunday, it climbed from 12,004 to 32,136.

The average number of people hospitalized with COVID-19 has gone up 21% over the past 30 days to over 19,000, up from 16,000, according to the same Reuters analysis.

Deaths, which can lag weeks behind a rise in cases, rose 25% last week from the previous seven days with an average of 250 people dying a day.

Some states have been especially hard hit. All but two of the 75 Arkansas counties have substantial or high levels of transmission, according to data from the U.S. Centers for Disease Control and Prevention (CDC).

But even in states with higher vaccination rates, such as New York, officials have expressed concern about fresh outbreaks, pointing to the significantly more contagious Delta variant.

So far, the variant has been detected around 100 countries globally and is now the dominant variant worldwide, top U.S. infectious disease expert Anthony Fauci told reporters last week.

In California, Los Angeles County reimposed a mask mandate at the weekend. It followed six straight days of more than 1,000 new COVID-19 cases in the county, with nearly 400 people hospitalized with COVID-19 as of Wednesday, up 275 from the week before.

While New York City Mayor Bill de Blasio acknowledged a rise in the number of cases, he told a daily news conference on Monday there were no plans to reintroduce mask mandates. He vowed instead to redouble vaccination efforts.

Overseas, COVID-19 restrictions are being reimposed in countries experiencing worrying spikes. The Netherlands announced it was re-imposing work-from-home guidelines due to soaring COVID-19 infections, just weeks after lifting them, as well as some restrictions on bars, restaurants and nightclubs.

Britain ended over a year of COVID-19 lockdown restrictions on Monday but the so-called “Freedom Day” was marred by surging infections and grim forecasts.

The U.S. Centers for Disease Control and Prevention on Monday issued a more severe warning against travel to the United Kingdom, elevating the nation to “Level Four: COVID-19 Very High,” the CDC’s highest level.

(Reporting by Maria Caspani in New York; Additional reporting by Anurag Maan, Sharon Bernstein and Caroline Humer; Editing by Howard Goller)

France reports over 10,000 new coronavirus cases per day again

PARIS (Reuters) – France reported more than 10,000 new coronavirus cases again as the rapid spread of the more contagious Delta variant led to a jump in new infections.

The health ministry reported 10,908 new cases on Friday, taking the total to more than 5.84 million. The daily new case tally was last over 10,000 at the end of May.

The seven-day moving average of new cases rose further to 5,795, after jumping over the key threshold of 5,000 on Wednesday.

The closely watched metric – which smooths out daily reporting irregularities – had risen as high as 42,000 per day in mid-April and fallen back to less than 2,000 per day in late June.

But since then, week-on-week percentage increases in new cases have risen every day, from more than 50% last week to more than 100% on Wednesday and nearly 140% on Friday. On Thursday, the number of reported cases fell following the July 14 national holiday.

Hospital numbers for COVID-19 continued their weeks-long fall, but the rate of decline slowed further. The number of COVID-19 patients in hospital fell below 7,000 for the first time since early October and the number of people in intensive care with the disease fell below 900.

The ministry also reported 22 new deaths from COVID-19, taking the total to 111,451.

(Reporting by Geert De Clercq; Editing by Chris Reese and Alex Richardson)