U.S. Cases Are Steady While Europe Battles Surge: Virus Update

(Bloomberg) -- U.S. coronavirus cases increased 0.8% for the fifth consecutive day, less than the average daily rise of 0.9% over the previous week. European data showed more evidence of a Covid-19 resurgence even as national leaders oppose a return to full-scale lockdowns. The euro area’s economic recovery unexpectedly lost momentum.

Hospitalizations declined in California, Florida’s positive test rate stabilized and New York reported the fewest Covid-19 patients in hospitals since March 16. Still, U.S. deaths exceeded 1,000 for the third day in a row on Thursday.

New Jersey Governor Phil Murphy implored residents to “take the damn call” and cooperate with contact tracers over the phone. The Kentucky Derby is on but without fans.

Key Developments:

• Global Tracker: Cases exceed 22.7 million; deaths pass 795,000
• J&J plans huge vaccine study while Pfizer cites rapid enrollment
• Cases in Japan may be peaking; Korea eyes stronger measures
• CDC updates guidance for schools to handle sick kids
• Thousands of baby chickens die in U.S. mail chaos
• Vaccine Tracker: where we are in the race for protection

Subscribe to a daily update on the virus from Bloomberg’s Prognosis team here. Click CVID on the terminal for global data on coronavirus cases and deaths.

Trump’s Virus Funding Plan for Private Schools Blocked (4:50 p.m. NY)

The Trump administration’s move to steer more pandemic relief money to private schools from a $13 billion education fund was blocked by a federal judge.

In a blow to Secretary of Education Betsy DeVos, U.S. District Judge Barbara J. Rothstein in Seattle ruled Friday that changes to CARES Act emergency funding issued by the administration in early July illegally take money away from disadvantaged public schools to give to private schools with more resources and less need. DeVos has been a forceful advocate for private schools during her 3 1/2-year tenure.

New Hampshire Restaurants Can Reopen Completely (4:35 p.m. NY)

New Hampshire restaurants can open for indoor dining at 100% capacity statewide, effective immediately, though tables must be six feet apart, Governor Chris Sununu said in a tweet. Outdoor dining resumed in May.

The outbreak in New Hampshire has been relatively mild, with just over total 7,000 cases, and fewer than 20 new infections daily for the last week. The state has recorded 13 deaths in August.

Kentucky Derby to Run Without Fans (4:12 p.m. NY)

Churchill Downs said this year’s Kentucky Derby will take place without fans.

It had worked on a plan to have a limited number of spectators, but dropped it because of “significant increases in Covid-19 cases in Louisville as well as across the region”

U.S. Cases Rise 0.8%, Less Than 7-Day Average (4 p.m.)

Coronavirus cases in the U.S. increased 0.8% as compared with the same time Thursday to 5.6 million, according to data collected by Johns Hopkins University and Bloomberg News. That was less than the average daily gain of 0.9% over the past week. Deaths rose by 0.6% to 174,761.

• Arizona reported 619 new cases, a 0.3% increase to 196,899 that fell below the prior seven-day average of 0.4%. Deaths rose by four to bring the statewide toll to 4,688.
• Florida reported 593,286 cases, up 0.8% from a day earlier, in line with the average increase in the previous seven days. Deaths reached 10,168, an increase of 119, or 1.2%.
• Hawaii experienced a 4.2% increase in the number of cases, bringing the total to 5,844, according to the data.

California Tops 650,000 Cases (3:40 p.m. NY)

California reported 5,585 new virus cases, less than the 14-day average of 7,994, for a total of 650,336 confirmed infections. Deaths rose by 135 to 11,821.

Other measures indicated progress in fighting the outbreak. Hospitalizations, which have fallen by a third from a peak last month, dropped another 2.4% to 4,772 patients. The average rate of positive tests over the past 14 days inched down to 6.5% from 6.6%.

Illinois Warns on Spread (2:15 p.m. NY)

Illinois on Friday said 20 counties had reached a warning level for coronavirus, up from 14 a week ago. Warning levels are triggered when two or more Covid-19 risk indicators increase. The Department of Public Health said the counties saw cases or outbreaks from weddings, neighborhood gatherings, parties and long-term care facilities as well as due to travel to neighboring states, bars and sports camps. Cases connected to schools also are starting to show up in reports.

In recent weeks, the state has seen an uptick in cases and testing. Illinois on Wednesday reported 2,295 cases, the highest since May 24; another 2,208 were recorded Friday. Daily testing reached a record 51,736, and there were 24 more deaths.

WHO Says Mexico Is Underreported (2:03 p.m. NY)

Mexico is carrying out about three tests per 100,000 people with a positive rate of almost 50%, according to World Health Organization official Michael Ryan.

The pandemic is being underdiagnosed and many people are being diagnosed late, Ryan said in a Canadian Broadcasting Corporation webcast. There’s a sharp difference in mortality between rich and poor localities, he said.

N.J. Governor Pleads for Cooperation With Contact Tracers (1:36 p.m. NY)

New Jersey Governor Phil Murphy told residents to “take the damn call,” as 1,612 contact tracers are having trouble reaching people who may have been exposed to the virus. More than half the individuals phoned aren’t cooperating, Murphy said.

“This is highly disturbing, to say the least,” the governor, a first-term Democrat, said. New Jersey reported 13 deaths in the past 24 hours, and for the fifth straight day had a transmission rate above 1, a key indicator that the virus is spreading.

France Cases Remain High (1:30 p.m. NY)

France reported 4,586 new cases, below Thursday’s figure but still near a level not seen since April. Officials are tightening measures to curb the spread, but the government has ruled out a return to the sweeping closures imposed earlier this year.

While cases are climbing, fatalities remain well below the levels of earlier this year. Deaths increased by 23 in the past 24 hours, bringing the total to 30,503.

Ireland Eases Restrictions (1:10 p.m. NY)

Ireland lifted special virus restrictions on two counties as case numbers there slowed, but retained the rules on one other. Despite a recent spike in numbers nationwide, Ireland is still in a “relatively good position,” chief medical officer Ronan Glynn told reporters in Dublin. The country reported 79 new cases Friday, with no deaths.

N.Y. Subway Series Is Postponed (12:45 p.m. NY)

This weekend’s Subway Series between the New York Mets and New York Yankees has been postponed, according to a statement from Major League Baseball.

The Mets had two members of the organization test positive for Covid-19. That prompted the postponement of Thursday’s game in Florida against the Miami Marlins and Friday’s game at Citi Field against the Yankees.

“Out of an abundance of caution and to allow for additional testing and contact tracing to be performed within the New York Mets’ organization, the games between the Mets and New York Yankees at Citi Field on Saturday, August 22nd and Sunday, August 23rd have been postponed,” Major League Baseball said in its statement.

Arizona Deaths, Cases Drop (12:20 p.m. NY)

Arizona on Friday reported 619 new virus cases, a 0.3% increase to 196,899 that fell below the prior seven-day average of 0.4%. Deaths rose by four to bring the statewide toll to 4,688.

Spain Outbreak ‘Out of Control,’ Expert Says (12:15 a.m. NY)

Spain’s coronavirus infections hovered around a four-month high for the third consecutive day. With a Spanish epidemiologist warning that the pandemic is “out of control” in parts of the country, cases increased by 3,650 in the latest 24-hour period, compared with 3,349 a day earlier, according to Health Ministry data on Friday.

The increase in outbreaks since July has hit hard as governments across Europe advise against traveling to Spain at the peak of the summer tourism season.

Young People Drive Spike in Italy (11:20 a.m. NY)

Italy reported 947 new coronavirus cases Friday, almost double the average for the past seven days of 556. The government has closed nightclubs and made wearing a mask compulsory after 6 p.m. in places where crowds gather, including outdoors.

The surge in the contagion affects mostly younger people, with a median age of 30 for new infections. The majority shows no symptoms of the disease, making detection more problematic. Most outbreaks are in holiday hot spots such as the island of Sardinia while just under a third of new cases are among arrivals from European tourist destinations such as Spain or Greece, according to Italy’s national health institute.

Florida Positivity Stabilizes at Lower Rate (11 a.m. NY)

Florida reported 593,286 Covid-19 cases on Friday, up 0.8% from a day earlier, in line with the average increase in the previous seven days. The new daily rate of people testing positive for the first time was 6.8% for Thursday, steady from a day earlier and near the lowest in two months. The state has reported 30,001 new cases in the past seven days, the fewest in a comparable period since late June.

Deaths among Florida residents reached 10,168, an increase of 119, or 1.2%, according to the health department report, which includes data through Thursday. Deaths often trail infections by weeks, and generally take even longer to be reflected in the data.

N.Y. Reports Record Number of Tests (10:15 a.m. NY)

New York reported a record number of Covid-19 tests and the lowest hospitalizations since March 16. Governor Andrew Cuomo announced 98,880 test results reported to New York state on Thursday, beating the previous high of 88,668. Hospitalizations dropped below 500 for the first time, to 490, Cuomo said. There were three Covid-19 deaths in the state and none reported in New York City.

Iceland’s Government to Be Tested (7:51 a.m. NY)

Iceland’s government, including the prime minister and finance minister, will need to undergo a double coronavirus test and take precautions in between after infections were diagnosed in people who were staying at a hotel where the officials dined on Tuesday.

Roubini Warns of Slow Recovery (7:40 a.m. NY)

The global economy faces a risk of a slow recovery or even another slump along the way unless a vaccine is found, according to economist Nouriel Roubini. Speaking on Bloomberg Television on Friday, Roubini predicted that the shape of the recovery, which some predicted to be V, “is becoming a U and the U could become a W if we don’t find a vaccine and don’t have enough stimulus.”

Roubini, who famously warned in 2006 that the housing market in the U.S would soon collapse, highlighted that a fresh outbreak of Covid-19 in Europe could also mean another wave of unemployment. Still, European workers have much better policies protecting their jobs compared with the U.S., he said.

EU Trade Chief Rejects Criticism He Broke Virus Rules (6:52 a.m. NY)

European Union Trade Commissioner Phil Hogan rejected calls to quit over his controversial attendance of a social event in his native Ireland that appeared to violate rules designed to curb the spread of the coronavirus. The EU Commission also issued a statement backing him up.

Irish Agriculture Minister Dara Calleary stepped down after it emerged he attended and spoke at the event. The virus has surged back in Ireland, with new daily cases now roughly five times the rate in early July.

British PM Under Pressure to Extend Eviction Ban (6 a.m. NY)

Prime Minister Boris Johnson is under pressure from opposition parties and charities to extend a ban in England and Wales on evicting tenants unable to keep up their rental payments because of the coronavirus pandemic.

With the prohibition on evictions due to end on Aug. 23, the government is trying to balance the demands of landlords who say it’s unfair to expect them to foot the burden of tenants who aren’t paying rent, and avoiding a surge in homelessness by supporting renters who have been pushed into economic hardship during the pandemic.

Poland, Slovakia Have Record Daily Cases (5 p.m. HK)

Poland’s new infections rose to a record on Friday, taking the total to 60,281. The government is considering re-imposing some virus-related restrictions in southern Poland. Slovakia reported 123 new infections, the most on a single day.

U.K. Economy Rebounds (4:30 p.m. HK)

The U.K. economy continued its recovery from a record slump, but the good news was clouded by mounting job losses and a growing government debt burden.

A broad measure of economic activity jumped to the highest in almost seven years in August, while retail sales rose more than forecast in July, reports on Friday showed. That pickup from the virus slump is being fueled by huge state support, which pushed government debt above 2 trillion pounds ($2.6 trillion) for the first time ever.

Hong Kong to Start Mass Tests (4:05 p.m. HK)

Hong Kong Chief Executive Carrie Lam said the city will kick off a campaign to test its entire population on Sept. 1, in the first such effort attempted outside of mainland China. Aided by Chinese experts and labs, the blitz will last two weeks. Residents are entitled to a free, one-time test on a voluntary basis.

Lam expressed gratitude to China, saying that Hong Kong would not have been able to conduct mass testing on its own. Hong Kong is facing pressure to re-open restaurants and relax social-distancing measures as its outbreak wanes, but a bold easing approach carries both public health and political risks. With new daily cases showing a sustained decline businesses are pressing for restrictions on restaurants to be lifted quickly to boost the economy and help residents who rely on eating out due to small apartment sizes.

Europe’s Economic Recovery Stumbles (4 p.m. HK)

The euro-area economy unexpectedly lost momentum this month as renewed travel restrictions and concerns about the coronavirus took a toll on services. The sharp slowdown shows that the path out of recession won’t be plain sailing, and undermines lingering hopes for a V-shaped recovery. While infections are on the rise, economic concerns mean governments are reluctant to re-impose the type of strict lockdowns seen earlier this year.

The economy had initially bounced back strongly after lockdowns were eased, though many were concerned that the pace could fade. At their last meeting in July, European Central Bank policy makers were reluctant to draw firm conclusions about the health of the economy, a stance that looks justified by Friday’s numbers.

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With assistance from Bloomberg