With close to 4.5 million Americans confirmed to have been infected with the coronavirus illness COVID-19, the pandemic will continue for some time, public health officials will tell Congress on Friday, underscoring the importance of following their recommendations on face masks, frequent hand washing and social distancing.
“While it remains unclear how long the pandemic will last, COVID-19 activity will likely continue for some time,” Dr. Anthony Fauci, head of the National Institute for Allergies and Infectious Diseases, along with Centers for Disease Control and Prevention head Dr. Robert Redfield and Health and Human Services testing czar Adm. Brett Giroir will say, according to prepared testimony for a special House panel investigating the pandemic.
The U.S. is still seeing high case numbers across the South and the West in states that reopened quickly and are now experiencing record numbers of one-day infections. Testing constraints are still being reported, as well as stress on hospital systems. The race for a vaccine, meanwhile, although progressing at a faster clip than in other epidemics, has not yet produced a clear breakthrough.
France’s Sanofi SA. SAN,
On Thursday, Dr. Deborah Birx, coordinator of the White House Task Force created to manage the pandemic, urged states and localities with rising cases to mandate face masks. In an interview with Fox News, Birx said there is a “very serious pandemic” in Southern states and its moving fast.
“So now we see the virus, probably because of vacations and other reasons of travel, moving up into Kentucky, Tennessee, southern Ohio, Missouri, Iowa, Kansas, Nebraska,” she said. “And, of course, we continue to have problems across the coast — Washington, Oregon, California, Idaho and Utah, and now increases in Colorado.”
Dr. Michael Osterholm, epidemiologist at the University of Minnesota, told MarketWatch’s Jaimy Lee in an interview that the U.S. effort to contain the virus has failed because victory was declared long before it made sense. Early hot spot New York and neighboring states succeeded in getting their outbreaks under control by strict lockdowns that were followed by very gradual reopenings. Other states did not follow suit.
“This virus has been poised to be transmitted in our communities, and we thought we had done enough to get it down. It’s like a fire crew. I only put out half the forest fire but you know, I put out half so we’re done. And then look what happened. It’s burned more acres since we gave up than it did before we gave up,” he said.
For more:Dr. Osterholm: Americans will be living with the coronavirus for decades
The U.S. has counted another 2,000 deaths since the death toll surpassed 150,000 on Wednesday. The toll now stands at 152,075, according to data aggregated by Johns Hopkins University. Florida and Arizona broke one-day records for fatalities on Thursday, with Florida counting 253 deaths and Arizona 48, the New York Times reported.
Mississippi, Hawaii and Ohio set one-day records for new cases.
A total of 67,167 new cases were counted across the U.S. on Thursday, above the average of 64,632 a day recorded in the last week, according to a New York Times tracker.
There are 27 states showing rising cases over the last 14 days, and 20 that are pretty much the same.
Latest tallies
There are now 17.3 million confirmed cases of COVID-19 worldwide, the Johns Hopkins data show, and at least 673,868 people have died. More than 10 million people have recovered.
Brazil is second to the U.S. with 2.6 million cases and 91,263 deaths.
India is third measured by cases at 1.6 million, followed by Russia with 838,461 and South Africa with 482,169.
The U.K. has 303,913 cases and 46,084 fatalities, the highest in Europe and third highest in the world.
China, where the illness was first reported late last year, has 87,610 cases, and 4,661 fatalities.
Read also:Young people could be driving a surge in coronavirus cases in Europe, warns the WHO
In Europe, Germany added another three Spanish regions to its list of high-risk destinations, the Guardian reported. Spain is currently suffering fresh outbreaks in tourist hot spots Barcelona and the beaches of the Costa Brava. Germans arriving from those areas will be required to produce a negative test of quarantine for 14 days.
France health officials reported a 54% increase in COVID-19 cases in the last week, according to its health department. The rise has been especially strong in people aged 20 to 30 as France braces for a heat wave that could see temperatures above 100 degrees Fahrenheit.
What’s the latest medical news?
Medical news was dominated by the Sanofi-Glaxo funding news, the highest amount awarded by the U.S. government so far. The Phase 1/2 study for the Sanofi/GSK vaccine is expected to begin in September.
“No single vaccine or company will be able to meet the global demand alone,” Thomas Triomphe, global head of Sanofi Pasteur, the drugmaker’s vaccines business, said in a news release.
Both companies also said they are in talks with the European Commission, as well as France and Italy, about supplying Europe with their vaccine.
In other news, Laboratory Corp. of America Holdings LH,
See also:Kodak’s stock triples as company announces pandemic plan to start making pharmaceutical ingredients
Blood plasma is currently being evaluated as a possible treatment for patients with an active COVID-19 infection. LabCorp said it will run the program using individual patients’ own doctors.
“LabCorp is currently working with public health authorities and the provider community on the details of the three-month program and will provide additional information in the near future,” the company said in a statement.
Gilead Sciences Inc. GILD,
It is unclear whether remdesivir will be a moneymaker for the drugmaker as the first doses were donated for free, though some analysts have predicted at least $ 1.5 billion in sales of the drug this year alone. Gilead has also recently announced that it will study the infused drug in pregnant women, in children, in combination with other treatments, and in an inhaled format.
What are companies saying?
Earnings season brought numbers from the Big Tech quartet of Alphabet Inc. GOOGL,
The four collectively crushed Wall Street’s expectations a day after a five-and-a-half-hour-long congressional hearing on anticompetitive practices in which their CEOs answered questions from lawmakers on their dominant positions in the marketplace. Their stocks in after-hours trading mirrored that view, with all four stocks gaining and pushing toward a combined market cap increase of more than $ 200 billion. The four companies combined were worth almost $ 5 trillion at the close.
See now:How Apple’s stock split will change the pecking order in the 124-year old Dow industrials
Combined revenue for the four — excluding traffic acquisition costs, or TAC, for Google parent Alphabet — was $ 198.11 billion, with Amazon reporting the most stunning revenue and earnings beat after Chief Executive Jeff Bezos promised to spend all of Amazon’s profit on responding to the pandemic.
See:Two stock market risks are hiding in Apple, Amazon, Facebook and Alphabet
With more people stuck at home and relying on shopping online and working on cloud-computing power, Amazon’s net income was instead a record for the e-commerce giant. Chief Financial Officer Brian Olsavsky told analysts on its conference call that online grocery sales tripled in the quarter and world-wide video streaming doubled from a year ago. Amazon’s physical stores saw a 13% decline, however, as more consumers used online grocery delivery services while sheltering in place.
Wall Street had been looking for the four giants to report a combined revenue of $ 181.5 billion, according to FactSet, compared with $ 165.7 billion in the year-ago quarter, excluding TAC for Alphabet. Combined revenue for the four grew nearly 20%.
There was good news for videogame maker Electronic Arts Inc. EA,
The videogame maker also said it has added tens of millions of new players as more people are staying home, and that demand for flagship games such as “Madden NFL,” “FIFA,” “The Sims” and more is unprecedented.“ We expect these trends to continue during and after the pandemic,” said CEO Andrew Wilson on the company’s earnings call.
Friday’s releases were more mixed with oil majors Chevron Corp. CVX,
AbbVie Inc. ABBV,
Pinterest Inc. PINS,
Here’s the latest news on companies and COVID-19:
• Caterpillar Inc. CAT,
• Chevron posted weaker-than-expected earnings for the second quarter, hit by the twin effects of a weak oil price and depressed demand during the pandemic. San Ramon, Calif.-based Chevron said it had a net loss of $ 8.3 billion, or $ 4.44 a share, in the quarter, after income of $ 4.3 billion, or $ 2.27 a share, in the year-earlier period. Excluding special items, the company’s adjusted per-share loss came to $ 1.59, wider than the loss per share of 93 cents forecast by FactSet analysts. Revenue slid to $ 16 billion from $ 36 billion a year ago, also below the $ 21.9 billion FactSet consensus. “The past few months have presented unique challenges,” said CEO Michael K. Wirths said in a statement. “The economic impact of the response to COVID-19 significantly reduced demand for our products and lowered commodity prices. Given the uncertainties associated with economic recovery, and ample oil and gas supplies, we made a downward revision to our commodity price outlook which resulted in asset impairments and other charges.”
• Colgate-Palmolive company beat second-quarter earnings estimates amid strong demand for soap and cleaning products during the pandemic. New York-based Colgate’s profit and sales rose. “We continue to see elevated demand across our geographies in certain categories such as liquid hand soap, dish liquid, bar soap and cleaners,” CEO Noel Wallace said in a statement. “In other categories, we are starting to see the impact of consumers working down their pantry inventories, particularly in Europe.” The company is not offering guidance due to the uncertainty created by the pandemic.
• Electronic Arts reported first-quarter earnings and revenue that beat Wall Street expectations on the strength of new game updates and increased player engagement during the pandemic. The company also said it saw tens of millions more new players. The Redwood City, Calif.-based company reported first-quarter net income of $ 365 million, or $ 1.25 a share, compared with $ 1.4 billion, or $ 4.75 a share, which included one-time tax benefits, in the year-ago period. Revenue rose to $ 1.46 billion from $ 1.21 billion in the year-ago quarter. The company had adjusted earnings of $ 1.42 a share on net bookings, the amount of products and services sold digitally or physically, of $ 1.39 billion in the quarter. Analysts surveyed by FactSet had forecast earnings of 80 cents a share on revenue of $ 1.05 billion.
• Exxon Mobil reported a wider-than-expected second-quarter loss and revenue that fell more than forecast, as the global oversupply of oil and the pandemic drove down results. Oil-equivalent production fell 7% to 3.6 million barrels a day, which was above the FactSet consensus of 3.4 million barrels a day, as liquids production fell 3% and natural gas decreased 12%. “The global pandemic and oversupply conditions significantly impacted our second quarter financial results with lower prices, margins, and sales volumes,” said Chief Executive Darren Woods. The company said it doesn’t plan to take on more debt, as it believes it has already increased debt to a level that is “appropriate” given current market uncertainties.
• Merck & Co. Inc. MRK,
• Pinterest shares soared after the photo platform easily topped expectations and gave an upbeat forecast for the third quarter. The company said that it expects revenue for July to be up around 50% through July 29, relative to a year earlier, and that overall third-quarter revenue could be up in the mid-30% range. “We are encouraged by the performance of our business in July, but a tremendous amount of uncertainty remains given the ongoing COVID-19 pandemic and other factors,” Pinterest said in its release. The company saw monthly active users in the June quarter climb to 416 million from 367 million in the March quarter. That number far exceeded the FactSet consensus, which was looking for 379 million monthly active users for the June period. The company had 96 million monthly active users in the U.S. and 321 million internationally. Global average revenue per user fell to 70 cents from 88 cents for the quarter, but came in ahead of estimates for 67 cents.
• Under Armour Inc. UAA,
• VF Corp. VFC,
• World Wrestling Entertainment Inc. WWE,
• XPO Logistics Inc. XPO,