U.S. to pay over $1 billion for 100 million doses of Johnson & Johnson’s potential COVID-19 vaccine

(Reuters) – The United States government will pay Johnson & Johnson over $1 billion for 100 million doses of its potential coronavirus vaccine, its latest such arrangement as the race to tame the pandemic intensifies, the drugmaker said on Wednesday.

It said it would deliver the vaccine to the Biomedical Advanced Research and Development Authority (BARDA) on a not-for-profit basis to be used after approval or emergency use authorization by the U.S. Food and Drug Administration (FDA).

J&J has already received $1 billion in funding from the U.S. government – BARDA agreed in March to provide that money for the company to build manufacturing capacity for more than 1 billion doses of the experimental vaccine.

The latest contract equates to roughly $10 per vaccine dose produced by J&J. Including the first $1 billion deal with the U.S government, the price would be slightly higher than the $19.50 per dose that the United States is paying for the vaccine being developed by Pfizer Inc. and German biotech BioNTech SE.

The U.S. government may also purchase an additional 200 million doses under a subsequent agreement. J&J did not disclose that deal’s value.

J&J plans to study a one- or two-dose regimen of the vaccine in parallel later this year. A single-shot regimen could allow more people to be vaccinated with the same number of doses and would sidestep issues around getting people to come back for their second dose.

This is J&J’s first deal to supply its investigational vaccine to a country. Talks are underway with the European Union, but no deal has yet been reached.

J&J’s investigational vaccine is currently being tested on healthy volunteers in the United States and Belgium in an early-stage study.

There are currently no approved vaccines for COVID-19. More than 20 are in clinical trials.

(Reporting by Michael Erman in Maplewood, New Jersey, Shariq Khan in Bengaluru and Josephine Mason; Editing by Shinjini Ganguli, Emelia Sithole-Matarise and Jonathan Oatis)

Fed’s Clarida says economy could reach pre-pandemic levels by end of 2021

By Jonnelle Marte

NEW YORK (Reuters) – While U.S. economic growth slowed in July, it could pick up in the third quarter and reach pre-pandemic levels by the end of next year, Federal Reserve Vice Chairman Richard Clarida said on Wednesday.

“It will take some time, I believe, before we get back to the level of activity that we were in February before the pandemic hit,” Clarida said in an interview with CNBC.

Clarida said his personal forecast for the economy hasn’t changed because of the recent resurgence of the virus in the United States. He noted that economic momentum from May through early July was stronger than he expected and that the economy will receive more support from another fiscal package, which should even things out.

“My baseline view is that we could get back to the level of activity perhaps towards the end of 2021,” Clarida said. “But again, there are a lot of moving parts here with the virus and the global outlook, so I think there’s a pretty good range of uncertainty.”

Asked about the tepid use of the Fed’s Main Street Lending Program, which is supposed to help small and mid-sized businesses, Clarida said the facilities are meant to serve as backstops and that officials are open to changing the program if needed to reach more businesses.

“I do expect activity in the program to pick up,” Clarida said. “We’re focused on the goal of supporting the economy and if we need to adjust our programs we will do so.”

(Reporting by Jonnelle Marte; Editing by Kevin Liffey and Paul Simao)

‘Do you really need to party?’ WHO asks world’s youth

By Emma Farge

GENEVA (Reuters) – Young people must curb their party instincts to help prevent new outbreaks of the COVID-19 disease, officials at the World Health Organization (WHO) pleaded on Wednesday.

Tired of lockdowns and eager to enjoy the northern hemisphere summer, young people in some countries have been contributing to resurgences by gathering again for parties, barbecues and holidays.

Even in Geneva, where the global U.N. health body is based, cabarets and clubs were closed last week after evidence that nearly half of new cases were coming from there.

“Younger people also need to take on board that they have a responsibility,” said WHO emergencies chief and father-of-three Mike Ryan in an online discussion. “Ask yourself the question: do I really need to go to that party?”

Young people are less likely to suffer a severe form of the respiratory disease than their parents or grandparents, but the proportion of those infected aged 15-24 has risen three-fold in about five months, WHO data shows.

Ryan said young people were often reticent in giving their details or disclosing friends’ names to contact tracers. “It’s tough but it is what is needed to stop the virus,” he said.

Swiss newspapers said that in one night club in Zurich from which cases emerged recently, party-goers had given fake names including “Donald Duck”.

As well as reducing risks to others, WHO epidemiologist Maria Van Kerkhove said young people should be careful as even a mild version of the disease might have long-term consequences.

(Reporting by Emma Farge; Editing by Andrew Cawthorne)

Global coronavirus deaths exceed 700,000, one person dies every 15 seconds on average

By Lisa Shumaker

(Reuters) – The global death toll from the coronavirus surpassed 700,000 on Wednesday, according to a Reuters tally, with the United States, Brazil, India and Mexico leading the rise in fatalities.

Nearly 5,900 people are dying every 24 hours from COVID-19 on average, according to Reuters calculations based on data from the past two weeks.

That equates to 247 people per hour, or one person every 15 seconds.

President Donald Trump said the coronavirus outbreak is as under control as it can get in the United States, where more than 155,000 people have died amid a patchy response to the public health crisis that has failed to stem a rise in cases.

“They are dying, that’s true,” Trump said in an interview with the Axios news website. “It is what it is. But that doesn’t mean we aren’t doing everything we can. It’s under control as much as you can control it. This is a horrible plague.”

In Brazil, President Jair Bolsonaro has minimized the gravity of the pandemic and opposed lockdown measures, even as he and several of his cabinet tested positive for the virus.

The pandemic was initially slower to reach Latin America, which is home to about 640 million people, than much of the world. But officials have since struggled to control its spread because of the region’s poverty and densely packed cities.

More than 100 million people across Latin America and the Caribbean live in slums, according to the United Nations Human Settlements Program. Many have jobs in the informal sector with little in the way of a social safety net and have continued to work throughout the pandemic.

Even in parts of the world that had appeared to have curbed the spread of the virus, countries have recently seen single-day records in new cases, signaling the battle is far from over.

Australia, Japan, Hong Kong, Bolivia, Sudan, Ethiopia, Bulgaria, Belgium, Uzbekistan and Israel all recently had record increases in cases.

Australia also reported a record number of new deaths on Wednesday, taking the country’s total to 247.

(Reporting by Lisa Shumaker; editing by Jane Wardell)

Ohio governor orders all children wear masks at public schools that reopen

By Rich McKay

(Reuters) – Ohio Governor Mike DeWine ordered on Tuesday that all children in grades K-12 wear masks at public schools that reopen.

Local school districts can still decide when to reopen and if learning will be done in person, online or a mix of the two, but everyone, including children and staff, must wear masks. Previously, masks were ordered only for adults.

“School districts are making decisions about how to come back,” DeWine, a Republican, said. “Each school district faces a different reality.”

There are exceptions to the order, including children with autism or other conditions that make it difficult to wear masks, he said.

The state and the Federal Emergency Management Agency will distribute 2 million face masks to Ohio schools for use by staff and students.

“This move gives us the best shot to keep Ohio’s kids and educators safe and physically in school,” DeWine said.

(Reporting by Rich McKay in Atlanta; Editing by Chris Reese and Leslie Adler)

Proportion of youth with COVID-19 triples in five months: WHO

By Ankur Banerjee and Stephanie Nebehay

(Reuters) – Young people who are hitting nightclubs and beaches are leading a rise in fresh coronavirus cases across the world, with the proportion of those aged 15 to 24 who are infected rising three-fold in about five months, the World Health Organization said.

An analysis by the WHO of 6 million infections between Feb. 24 and July 12 found that the share of people aged 15-24 years rose to 15% from 4.5%.

Apart from the United States which leads a global tally with 4.8 million total cases, European countries including Spain, Germany and France, and Asian countries such as Japan, have said that many of the newly infected are young people.

“Younger people tend to be less vigilant about masking and social distancing,” Neysa Ernst, nurse manager at Johns Hopkins Hospital’s biocontainment unit in Baltimore, Maryland told Reuters in an email.

“Travel increases your chances of getting and spreading COVID-19,” she said, adding young people are more likely to go to work in the community, to a beach or the pub, or to buy groceries.

The surge in new cases, a so-called second wave of infections, has prompted some countries to impose new curbs on travel even as companies race to find a vaccine for the fast-spreading virus that has claimed more than 680,000 lives and upended economies.

Even countries such as Vietnam, widely praised for its mitigation efforts since the coronavirus appeared in late January, are battling new clusters of infection.

Among those aged 5-14 years, about 4.6% were infected, up from 0.8%, between Feb. 24 and July 12, the WHO said, at a time when testing has risen and public health experts are concerned that reopening of schools may lead to a surge in cases.

Anthony Fauci, the leading U.S. expert on infectious diseases, urged young people last month to continue to socially distance, wear masks and avoid crowds, and cautioned that asymptomatic people could spread the virus, too.

Indeed, health experts in several countries have urged similar measures as they report that infected youth show few symptoms.

“We’ve said this before and we’ll say it again: young people are not invincible,” WHO Director General Tedros Adhanom Ghebreyesus told a news briefing in Geneva last week.

“Young people can be infected; young people can die; and young people can transmit the virus to others.”

Last month, Tokyo officials said they would conduct coronavirus testing in the city’s nightlife districts, and instructed nightclubs to provide customers with enough space with good ventilation and to ask them to avoid speaking loudly.

In France last month, authorities shut down a bar where people breached hygiene rules and caused an outbreak.

(Reporting by Ankur Banerjee and Vishwadha Chander in Bengaluru and Stephanie Ulmer-Nebehay in Geneva; Editing by Sayantani Ghosh and Bernadette Baum)

Special Report: Local governments ‘overwhelmed’ in race to trace U.S. COVID contacts

By Benjamin Lesser, Dan Levine, Jaimi Dowdell and Andrea Januta

(Reuters) – The soaring number of COVID-19 cases in the United States has far outstripped many local health departments’ ability to trace the contacts of those infected, a step critical in containing the virus’ spread.

With the pandemic claiming about a thousand American lives a day, many city and county departments say they lack the money and staff to expeditiously identify people who have been exposed, according to a Reuters survey of 121 local agencies, as well as interviews with dozens of state and local officials, epidemiologists and tracers.

The United States badly lags other wealthy countries in contact tracing, including South Korea and Germany, which ramped up their programs months ago. Contributing to the faltering U.S. response is the government’s failure to provide accurate and timely diagnostic testing, something other countries were able to roll out much faster and more broadly.

On Alabama’s hard-hit Gulf Coast, health department staffers are stretched so thin they are directing individuals who test positive to notify any contacts themselves, said Rendi Murphree, director of Mobile County’s Bureau of Disease Surveillance and Environmental Services.

“Everything is overwhelmed,” she said.

Adding to the challenge has been a sharp politicization of the COVID-19 response, with many Americans, from President Donald Trump on down, often portraying mask-wearing and other measures as an infringement of personal liberty.

The United States has by far the world’s largest COVID-19 caseload, with over 4.6 million confirmed infections and more than 155,000 deaths. Yet public health measures during the pandemic have been largely decentralized, coming down to patchwork efforts by state, and especially local, governments. Federal funding has proved unreliable, caught up in fierce debate over the crisis.

Now, as part of log-jammed negotiations over new relief legislation, Republicans and Democrats in Congress are arguing over funding proposals for testing and tracing that are tens of billions of dollars apart. As of June, U.S. Centers for Disease Control and Prevention director Robert Redfield said the country had 27,000 contact tracers – about a quarter of what has been recommended.

Although some local health departments told Reuters their efforts have proved successful – and many said they were worthwhile – several researchers described U.S. contact tracing overall as too little, too late.

“You don’t clean up an oil spill with paper towels,” said Marc Lipsitch, a professor of epidemiology at the Harvard public health school.

On this point, the Trump administration does not disagree. Admiral Brett Giroir, Assistant Secretary for Health at the U.S. Department of Health and Human Services, told Reuters that given the spread of the disease, mask wearing and other prevention measures are more effective.

“It is really impossible to contact trace,” Giroir said, until the numbers come down.

The agencies responding to the Reuters survey serve at least 27 million residents in large cities such as Minneapolis, Boston, and Cleveland, as well as smaller communities including Allentown, Pennsylvania, and Dare County, North Carolina. Collectively, as of last week, they accounted for at least 230,000 COVID-19 cases and 7,300 deaths. The responses cover the week ending June 22. Reuters followed up in late July with several departments, such as Las Vegas and Kansas City, Kansas, where officials said circumstances had not improved.

Among the findings:

• The 40 local health departments with the highest caseloads have fallen far short in their efforts to reach patients who tested positive. Only about half the departments with more than 1,000 cases had reached close to all infected people at the time of the survey. The CDC recommends that newly positive cases be interviewed within 24 hours.

“It’s just impossible with the kind of numbers that we are seeing,” said Devin Raman, a senior disease investigator at the Southern Nevada Health District, including Las Vegas.

• Nearly half of the local departments said they lacked sufficient staff and funds. In Missouri, many said they hadn’t received any additional money for contact tracing. “Some of them are literally running out of money right now,” Diane Weber, executive director of the Missouri Association of Local Public Health Agencies, said in July.

• Local health officials in six states complained that efforts to create statewide contact tracing systems have been hampered by issues including technical problems and poor coordination. In some cases, this has led to tension and a costly duplication of efforts, with state and local tracers calling the same people.

“We’re not going to drop the ball on tracing in our county and leave it to the state. If we did that, we’d probably all be dead,” said Joni Wise, administrator of the Vigo County Health Department in Indiana.

A spokesperson for the Indiana Department of Health acknowledged that people are more likely to answer a local call from a municipal health department than an “833” number from the state’s centralized call center.

• More than three dozen public health departments said they were hindered by some residents’ failure to answer their phones or to provide accurate information when they did. Several departments said people they called had objected to contact tracing as an infringement on their privacy rights.

“We get a variety of responses from yelling and hanging up, to those telling us that they have already contacted all of their friends and will not give us those names,” said Kenosha County health director Jen Freiheit in Wisconsin.

‘A LAME EXCUSE’

From the early days of the pandemic, public health experts emphasized the importance of contact tracing, a decades-old strategy aimed at interrupting infectious disease transmission. It involves interviewing infected people, identifying people whom they may have exposed to infection and trying to keep those individuals from passing the virus to someone else.

“If any country is saying contact tracing is difficult, it is a lame excuse,” World Health Organization Chief Tedros Adhanom Ghebreyesus said in June. He pointed to the WHO’s success in halting an Ebola outbreak in eastern Congo by tracing 25,000 contacts a day in a remote area, where some 20 armed groups were fighting.

Under the best of circumstances, contact tracing is not a panacea. It is only one of many public health tools commonly deployed against infectious disease. The approach is particularly challenging during a fast-moving epidemic in which people may be infectious but don’t fall sick right away. In addition, a culture of individualism and legal protections inhibit U.S. authorities from forcing people to stay inside and divulge their social relationships.

Still, some other democracies have devised a more coordinated testing and tracing strategy than the United States.

In Germany, a country with about 400 public health offices, contact tracing early on was part of a collaborative effort. Workers from other municipal government offices lent a hand. The national Robert Koch Institute said it deployed hundreds more “containment scouts” – mostly medical students – to help. Daily confirmed cases in Germany now number in the hundreds. Deaths per day are down to the single digits, from a peak of over 300 on April 16.

In the United States, daily case counts that had been falling since mid-April began climbing again in July, reaching a peak of 77,299 July 16.

The federal government has largely taken a hands-off approach to contact tracing, as well as other public health measures during the pandemic. Though the CDC has issued guidance for contact tracing, it is not deeply involved. And though Congress authorized billions of dollars in aid that could pay for tracing, the money is not required to be used that way.

Trump and many of his fellow Republicans in Congress have often downplayed the threat posed by COVID-19. In July, the White House tried to block new funding for testing and contact tracing – something the White House later disavowed amid opposition even from Trump’s own party. Since then, Senate Republican leaders have proposed a relief bill that would dedicate $16 billion for the effort, while a bill passed by the Democrat-dominated House would provide $75 billion for testing, tracing and hospital support. Negotiations are at a crawl.

A senior CDC official told Reuters in a statement that the agency has provided more than $12 billion across the country to address the COVID 19 crisis, including a recent grant of $10.25 billion for testing and other activities such as contact tracing. In addition, the official said, the CDC has provided staff and extensive technical support to states.

“Contact tracing is most effective when local communities embrace it and drive it,” said the official, who declined to be named. “The Administration has empowered states with funding to lead these efforts.”

REALITY SINKS IN

A few days before Las Vegas casinos reopened in June, state health officials in Nevada predicted a wave of coronavirus cases.

The state should have as many as 700 people working on contact tracing to meet the surge, the officials wrote in a May 29 COVID-19 “plan of operations,” which Reuters obtained under a Freedom of Information Act request. Referring to the roughly 100 tracing staffers then aboard, the plan said staffing “falls short of what is needed to effectively manage the need.”

It took two months to staff up. As of July’s end, Nevada had 744 staffers statewide, a Nevada Health and Human Services department spokeswoman said.

Still, Las Vegas and surrounding areas have struggled. The Southern Nevada Health District (SNHD) saw about 1,000 new cases a day by mid-July, up ten-fold from the first week of June (although new cases have dropped precipitously in recent days).

A SNHD official told legislators last week that the district had less than half the tracing staff needed to serve Clark County, home to Las Vegas.

Raman, the senior investigator in the southern district, estimated in mid-July that her department was able to interview between 25% and 40% of people who recently tested positive.

“Right now, unfortunately, we are just trying to keep our heads above water.,” she told Reuters.

It was a similar story in other hotspots. Health officials for Harris County, Texas, who serve the Houston suburbs, have reported about 550 cases a day since July 1, up from about 200 a day during the first half of June.

Harris County reported reaching about 60% of the newly positive people to interview about contacts. In general, epidemiologists told Reuters, the goal should be at least 75%.

Martha Marquez, a county spokesperson, described the 60% figure as “good” but said the county was “looking into how to grow our success rate.”

Other departments struggle to keep potentially infectious people in quarantine. Ideally, a tracer notifies contacts, refers them for testing and advises them to stay home and away from others. Then someone in the department follows up to see if they need anything to stay indoors – house-cleaning supplies or food, for instance. It’s no guarantee they won’t go out, but tracers say it can make a difference.

In Alabama’s Mobile County, with case counts exploding to more than 1,000 cases a week by mid-July, follow-up was next to impossible. “It is not going well,” said Murphree, the disease surveillance director.

For months, the health department in Mobile relied only on existing health staff for contact tracing – as well as a few volunteers. It took until mid-July for the department to hire two people dedicated to that work, positions that the federal government has promised to fund, Murphree said.

The county has not yet received the money, she said.

This lack of resources is being felt across the country.

Despite pleas for assistance, local health departments in Missouri have received little to no COVID-19 funding from the state. Meanwhile, the state recently announced a $15 million package to help support tourism, using funding from the federal CARES Act – a $2.2 trillion COVID-19 relief package passed by Congress in March.

“Tourism is a major employer and a major boon to the economy of Missouri,” said Scott Clardy, assistant director of the Columbia/Boone County Department of Public Health and Human Services. “That being said, here we are not being able to investigate cases, but we’re giving $15 million to the tourism industry to bring in more people.”

Clardy said, however, that he was expecting almost $1.8 million in CARES Act funding for contact tracing and testing to become available as early as this week.

Contact tracing efforts are strained not just by the sharp rise in cases but by the long delays in getting COVID-19 test results back.

David Holcombe, the director of the Louisiana Department of Health for the central portion of that state, said that, as of mid-July, the turnaround was as long as 14 days.

The lag time makes “contact tracing virtually useless,” he said. That’s because by the time positive results come back, the infected person has potentially had many more contacts, who have potentially infected others themselves.

KEEPING UP

Not all contact-tracing efforts are in disarray.

In San Francisco, cases are rising but not spiking to the level seen in other places in the country. So far, contact tracers say they have been able to keep up – largely through the efforts of redirected city workers.

Before the pandemic, program manager Jana De Brauwere could be found at San Francisco’s main public library, using one of the four languages she speaks to help patrons without computers apply for jobs and other services online.

Since April, dozens of librarians, attorneys and other San Francisco city workers have been redeployed to trace COVID-19 contacts – though at some cost to the city’s other public services.

After about 20 hours of training, De Brauwere started calling people exposed to the disease, arranging for supplies to help them quarantine, and referring them for testing. Soon she was promoted to team leader.

A typical shift now starts at 7 am, when De Brauwere parcels out roughly 100 contacts for her eight-tracer team to interview that day. De Brauwere has given up all her library work. “This is the priority,” she said.

The city’s contact tracing program, which is getting help from nonprofit organizations, reported reaching over 80% of people with positive tests through the third week of July, an exceptionally high rate. Similarly, health officials in Vigo County, Indiana, report being able to interview nearly all positive cases. Wise, the county health administrator, said local contact tracers have been more successful at reaching people than those at the state level.

The state’s tracers often are contractors who don’t understand the area, she said. That unfamiliarity can alienate residents and make them less likely to share critical health information, she said.

‘A THREAT TO OUR PRIVACY’

Even with sufficient money and staff, health departments often have trouble convincing people to pick up the phone and cooperatively answer questions.

Playing into that problem are political divisions throughout the country over how seriously to take the pandemic and what responsibilities the government should or should not impose on the public.

In Texas, a Republican state representative in June called for ending the contact tracing program as “a threat to our privacy and individual liberties.” The Republican-controlled Kansas legislature in June passed a COVID-19 bill with bipartisan support ensuring that no civil or criminal penalties would apply to anyone who refuses to provide information to a tracer. Such penalties, to the limited extent they are allowed under public health laws, are rarely enforced.

People may be reluctant to engage with tracers for a variety of other reasons, including embarrassment for exposing themselves to infection or fear they’ll lose their job.

Sometimes, contact tracers are hindered by misunderstandings.

In early June, in Berrien County, Michigan, contact tracer Karen Kortebein received a call from a public health nurse in a neighboring county. An employee of a long-term care facility there – a resident of Kortebein’s county – had contracted the virus. Kortebein knew the woman. She’d been speaking with her since her husband tested positive in May.

Kortebein had asked the woman then if she was working outside her home. The woman said no. But in reality she had been working – possibly while infectious – with a particularly vulnerable population until her husband became ill, something contact tracers needed to know as soon as possible.

It turned out the woman, whose first language is not English, had misunderstood the question. Also, she was confused about the risk she posed because she’d had conflicting test results and had yet to develop symptoms.

For Kortebein, it was a lesson in how easily wires can get crossed.

“I was kind of blown away,” she said.

(Benjamin Lesser and Andrea Januta reported from New York, Dan Levine from San Francisco, and Jaimi Dowdell from Los Angeles. Additional reporting by Douglas Busvine in Berlin and Alexandra Alper in Washington, D.C. Editing by Michele Gershberg, Janet Roberts and Julie Marquis)

State attorneys general urge U.S. government to increase supply, lower price of remdesivir

(Reuters) – A bipartisan coalition of attorneys general on Tuesday urged the U.S. government to use its legal authority to increase the availability and lower the price of Gilead Sciences’ COVID-19 treatment, remdesivir.

Gilead has priced remdesivir, the antiviral drug at the forefront of the battle against the pandemic, at $2,340 per patient for wealthier nations and said will charge U.S. patients with commercial insurance, $3,120 per course, or $520 per vial.

The United States signed a deal with Gilead in June for more than 500,000 courses of the treatment, which shortened hospital recovery time in a U.S. trial, making up most of the company’s output through September.

In a letter sent to the U.S. health agencies, the coalition led by Louisiana Attorney General Jeff Landry and California Attorney General Xavier Becerra urged the federal government to ensure Americans can afford and have reasonable access to sufficient supply of remdesivir during this pandemic.

Under the Bayh-Dole Act, the National Institutes of Health and the U.S. Food and Drug Administration have the authority to license remdesivir to third-party manufacturers to scale up production and distribution and ensure its availability at a reasonable price, according to the letter.

Gilead was not immediately available for comment.

(Reporting by Manojna Maddipatla in Bengaluru; Editing by Shinjini Ganguli)

Congressional Democrats, White House set new round of coronavirus aid talks

By Patricia Zengerle

WASHINGTON (Reuters) – Top White House officials and Democratic leaders in the U.S. Congress will try again on Tuesday to narrow gaping differences over a fifth major coronavirus relief bill to help stimulate the economy and possibly provide new aid to the unemployed.

The two sides have reported some progress in recent days. But they remain far apart on a range of issues including unemployment benefits for workers made jobless by the epidemic, as well as liability protections for businesses and funding for schools, state and local governments and election security.

Treasury Secretary Steven Mnuchin and White House Chief of Staff Mark Meadows were due to meet with Senate Republicans at a midday policy lunch, before resuming negotiations with House of Representatives Speaker Nancy Pelosi and Senate Democratic leader Chuck Schumer at 3:30 p.m. EDT (1930 GMT).

Federal Reserve officials are urging Congress and the White House to help the struggling U.S. economy. Tens of millions of Americans have lost their jobs during the crisis.

Congress passed more than $3 trillion in relief legislation early in the epidemic. But lawmakers missed a deadline last week to extend the $600 per week in enhanced unemployment payments that have played a key role in propping up the U.S. economy.

Democrats are pressing for another $3 trillion that would retain the $600 benefit and add nearly $1 trillion in assistance for state and local governments.

Senate Republicans, who have not taken part in the White House talks with Democrats, have proposed a $1 trillion package that would slash the unemployment payment to $200 a week and eventually move to 70% of wages.

Republicans say the $600 benefit – which is on top of state unemployment payments – discourages people from taking lower-paying jobs. A Fed official on Monday said there was little evidence to support that view.

Differences also remain on whether to extend a moratorium on housing evictions and Democrats’ demand for around $1 trillion in aid to state and local governments suffering revenue shortfalls as a result of the epidemic.

(Reporting by Patricia Zengerle; Writing by David Morgan and Richard Cowan; Editing by Scott Malone, Sam Holmes and Paul Simao)

Trump says coronavirus under control, ‘It is what it is’

WASHINGTON (Reuters) – President Donald Trump said the coronavirus outbreak is as under control as it can get in the United States, where at least 155,000 people have died amid a patchy response to the public health crisis that has failed to stem a rise in cases.

The Republican president continued to press for U.S. schools to reopen in an overnight Twitter post, and defended his administration’s response to the virus in an interview with the Axios news website released late on Monday.

“They are dying, that’s true,” he said. “It is what it is. But that doesn’t mean we aren’t doing everything we can. It’s under control as much as you can control it. This is a horrible plague.”

Coronavirus cases continue to surge in the country and dozens of U.S. states have had to pause or roll back their reopening plans. The White House coronavirus task force coordinator, Dr. Deborah Birx, said on Sunday the virus was “extraordinarily widespread” in rural areas as well as cities.

With U.S. deaths reaching more than 1,000 a day, Trump pressed the view of deaths in proportion to the number of cases instead of as a proportion of the population, in which the United States fares worse than other Western nations.

In the Axios interview, Trump again insisted that increased diagnostic testing in the United States accounted for the increase in cases, an assertion disputed by health experts who say expanded testing accounts for some, but not all, of the growth in cases.

Health experts also call it a key tool in fighting the spread of the disease, which had been detected in at least 4.6 million people across the United States as of Saturday.

(Reporting by Doina Chiacu and Susan Heavey; Editing by Bernadette Baum)