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S&P 500 ends at highest in month, indexes gain for week as earnings kick off

  • JPMorgan, Wells Fargo shares jump
  • U.S. consumers’ inflation expectations ease – survey
  • Tesla falls after price cuts on electric vehicles
  • Indexes: Dow up 0.3%, S&P 500 up 0.4%, Nasdaq up 0.7%

NEW YORK, Jan 13 (Reuters) – The S&P 500 and Nasdaq finished at their highest levels in a month on Friday, with shares of JPMorgan Chase and other banks rising following their quarterly results, which kicked off the earnings season.

All three major indexes also registered strong gains for the week, leaving the S&P 500 up 4.2% so far in 2023, and the Cboe Volatility index (.VIX) – Wall Street’s fear gauge – closed at a one-year low.

On Friday, financials (.SPSY) were among sectors that gave the S&P 500 the most support.

JPMorgan Chase & Co (JPM.N) and Bank of America Corp (BAC.N) beat quarterly earnings estimates, while Wells Fargo & Co (WFC.N) and Citigroup Inc (C.N) fell short of quarterly profit estimates.

But shares of all four firms rose, along with the S&P 500 banks index (.SPXBK), which ended up 1.6%. JPMorgan shares climbed 2.5%.

Still, Wall Street’s biggest banks stockpiled more rainy-day funds to prepare for a possible recession and reported weak investment banking results while showing caution about forecasting income growth. They said higher rates helped to boost profits.

Strategists said investors will be watching for further guidance from company executives in the coming weeks.

“This has shifted the focus back to earnings,” said Peter Tuz, president of Chase Investment Counsel in Charlottesville, Virginia.

“Even though the earnings were basically OK, people are just kind of stepping back, and you’re going to see a wait-and-see attitude with stocks” as investors hear more from company executives.

Year-over-year earnings from S&P 500 companies are expected to have declined 2.2% for the quarter, according to Refinitiv data.

Also giving some support to the market Friday, the University of Michigan’s survey showed an improvement in U.S. consumer sentiment, with the one-year inflation outlook falling in January to the lowest level since the spring of 2021.

The Dow Jones Industrial Average (.DJI) rose 112.64 points, or 0.33%, to 34,302.61, the S&P 500 (.SPX) gained 15.92 points, or 0.40%, to 3,999.09 and the Nasdaq Composite (.IXIC) added 78.05 points, or 0.71%, to 11,079.16.

The S&P 500 closed at its highest level since Dec. 13, while the Nasdaq closed at its highest level since Dec. 14.

For the week, the S&P 500 gained 2.7% and the Dow rose 2%. The Nasdaq increased 4.8% in its biggest weekly percentage gain since Nov. 11.

The U.S. stock market will be closed Monday for the Martin Luther King Jr. Day holiday.

Thursday’s Consumer Price Index and other recent data have bolstered hopes that a sustained downward trend in inflation could give the Federal Reserve room to dial back on its interest rate hikes.

Money market participants now see a 91.6% chance the Fed will hike the benchmark rate by 25 basis points in February.

Among the day’s decliners, Tesla (TSLA.O) shares fell 0.9% after it slashed prices on its electric vehicles in the United States and Europe by as much as 20% after missing 2022 deliveries estimates.

In other earnings news, UnitedHealth Group Inc (UNH.N) shares rose after it beat Wall Street expectations for fourth-quarter profit but the stock ended down on the day.

Shares of Delta Air Lines Inc (DAL.N) dropped 3.5% as the company forecast first-quarter profit below expectations.

Volume on U.S. exchanges was 10.77 billion shares, compared with the 10.81 billion average for the full session over the last 20 trading days.

Advancing issues outnumbered declining ones on the NYSE by a 1.79-to-1 ratio; on Nasdaq, a 1.78-to-1 ratio favored advancers.

The S&P 500 posted 12 new 52-week highs and 2 new lows; the Nasdaq Composite recorded 105 new highs and 8 new lows.

Additional reporting by Shubham Batra, Ankika Biswas and Amruta Khandekar in Bengaluru; Editing by Subhranshu Sahu, Shounak Dasgupta and Grant McCool

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Fierce fighting in Ukraine’s Soledar leaves battlefield strewn with corpses – Zelenskiy

  • Zelenskiy says no walls left standing in Soledar
  • Wagner Group sending waves of fighters, Ukraine says
  • Fight for cavernous salt mining tunnels beneath town

KYIV/SIVERSK, Ukraine, Jan 10 (Reuters) – Russia has stepped up a powerful assault on Soledar in eastern Ukraine, officials in Kyiv said, forcing Ukrainian troops to repel waves of attacks led by the Wagner contract militia around the salt mining town and nearby fronts.

Soledar, in the industrial Donbas region, lies a few miles from Bakhmut, where troops from both sides have been taking heavy losses in some of the most intense trench warfare since Russia invaded Ukraine nearly 11 months ago.

Ukrainian forces repelled an earlier attempt to take the town but a large number of Wagner Group units quickly returned, deploying new tactics and more soldiers under heavy artillery cover, Ukrainian Deputy Defence Minister Hanna Malyar said on Monday on the Telegram messaging app.

“The enemy literally step over the corpses of their own soldiers, using massed artillery, MLRS systems and mortars,” Malyar said.

Russia’s defence ministry did not mention either Soledar or Bakhmut in a regular media briefing on Monday, a day after facing criticism for an apparently false claim of a missile strike on a temporary Ukrainian barracks.

Wagner was founded by Yevgeny Prigozhin, an ally of Russian President Vladimir Putin. Drawing some recruits from Russia’s prisons and known for uncompromising violence, it is active in conflicts in Africa and has taken a prominent role in Russia’s war effort in Ukraine.

Prigozhin has been trying to capture Bakhmut and Soledar for months at the cost of many lives on both sides. He said on Saturday its significance lay in a network of cavernous mining tunnels below the ground, which can hold big groups of people as well as tanks and other war machines.

Ukrainian military analyst Oleh Zhdanov said fighting in Bahkmut and Soledar is “the most intense on the entire frontline”, with little advancement by either side in the freezing conditions.

“So many (pro-Russian fighters) remain on the battlefield … either dead or wounded,” he said on YouTube.

“They attack our positions in waves, but the wounded as a rule die where they lie, either from exposure as it is very cold or from blood loss. No one is coming to help them or to collect the dead from the battlefield.”

Reuters could not immediately verify battlefield reports.

NO BUILDINGS INTACT

Ukrainian President Volodymyr Zelenskiy said in nightly video remarks on Monday that Bakhmut and Soledar were holding on despite widespread destruction.

He cited new and fiercer attacks in Soledar, where he said no walls have been left standing and the land is covered with Russian corpses.

“Thanks to the resilience of our soldiers in Soledar, we have won for Ukraine additional time and additional strength,” Zelenskiy said. He did not spell out what he meant by gaining time or strength.

But Ukrainian officials, led by the commander in chief General Valery Zaluzhniy, have warned that Russia is preparing fresh troops for a new, major offensive on Ukraine, possibly on the capital Kyiv.

Zelenskiy also appears to be banking on securing more, sophisticated weapons from Ukraine’s Western partners to beat off attacks and eventually expel Russian troops.

On Monday, he pressed on with diplomatic efforts, speaking to Petr Fiala, Prime Minister of the Czech Republic, current chair of the 27-member European Union.

“I am certain that our soldiers at the front will get these weapons and equipment. Very soon,” he said.

France, Germany and the United States all pledged last week to send armoured fighting vehicles, fulfilling a long-standing Ukrainian request. Britain is considering supplying Ukraine with tanks for the first time, Sky News reported, citing a Western source. Britain’s Defence Ministry did not comment.

Iran could be contributing to war crimes in Ukraine by providing drones to Russia, White House national security adviser Jake Sullivan said on Monday.

The United States has imposed sanctions on companies and people it accused of producing or transferring Iranian drones used by Russia. The White House said last week it is considering ways to target Iran’s production of the unmanned weaponised aircraft through sanctions and export controls.

WAVES OF ATTACK

Military analysts say the strategic military benefit for Russia of capturing Bakhmut and Soledar would be limited.

Taras Berezovets, a Ukrainian journalist, political commentator and officer in the Ukrainian army, said capturing Soledar made little sense, except as a personal victory for Prigozhin, however it would be easier to take than Bakhmut.

“It’s his personal war,” Berezovets said on YouTube.

A U.S. official has said Prigozhin is eyeing the salt and gypsum from the mines, believed to extend over 100 miles underground and contain auditorium-scale caverns.

Berezovets said Ukrainian troops fighting in Bakhmut and Soledar say attacks come in waves of small groups, no more than 15, with the first wave usually wiped out. The pro-Russian forces retrench and leave white ribbons for the next wave to follow.

“The complexity of fighting in cities like Bakhmut and Soledar is that it is hard to determine who is with you and who is the enemy,” he said.

In an evacuee centre in nearby Kramatorsk, Olha, 60, said she had fled Soledar after moving from apartment to apartment as each was destroyed in tank battles.

“There isn’t one house left intact. Apartments were burning, breaking in half,” said Olha, who gave only her first name.

Reporting by Reuters bureaus; Writing by Frank Jack Daniel, Doina Chiacu and Michael Perry; Editing by Grant McCool, Lincoln Feast and Himani Sarkar

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Exclusive: US says Russia’s Wagner Group bought North Korean weapons for Ukraine war

WASHINGTON, Dec 22 (Reuters) – The private Russian military company, the Wagner Group, took delivery of an arms shipment from North Korea to help bolster Russian forces in Ukraine, a sign of the group’s expanding role in that conflict, the White House said on Thursday.

“Wagner is searching around the world for arms suppliers to support its military operations in Ukraine,” John Kirby, spokesperson for the White House National Security Council, told reporters.

“We can confirm that North Korea has completed an initial arms delivery to Wagner, which paid for that equipment. Last month, North Korea delivered infantry rockets and missiles into Russia for use by Wagner,” Kirby said.

The news was first reported by Reuters. The Wagner Group was founded in 2014 after Russia seized and annexed Ukraine’s Crimea peninsula and sparked a separatist insurgency in Ukraine’s eastern Donbas region.

The United States estimates that Wagner has 50,000 personnel deployed in Ukraine, including 10,000 contractors and 40,000 convicts recruited from Russian prisons, Kirby said.

The U.S. assessment is that the amount of material delivered by North Korea will not change the battlefield dynamics in Ukraine, but more military equipment was expected to be delivered by Pyongyang.

In November, after the White House said Pyongyang was covertly supplying Russia with a “significant” number of artillery shells, North Korea said it had never had arms dealings with Russia and has no plans to do so.

The Russian and North Korean missions to the United Nations in New York did not immediately respond to a request for comment on Thursday’s news.

The United States accused Pyongyang and Moscow of violating U.N. sanctions on North Korea and will share its information with the U.N. Security Council’s North Korea sanctions committee, U.S. Ambassador to the United Nations, Linda Thomas-Greenfield, said in a statement.

Pyongyang has built ballistic missiles capable of striking almost anywhere on earth, weapons experts say, as well as shorter-range weapons.

Kirby said Russian President Vladimir Putin has increasingly turned to the Wagner Group, owned by Putin’s ally Yevgeny Prigozhin, for help in Ukraine, where Russian forces have stumbled in their bid to topple the Kyiv government.

The European Union has imposed sanctions on the Wagner Group, accusing it of clandestine operations on the Kremlin’s behalf.

Putin has said the group does not represent the Russian state, but that private military contractors have the right to work anywhere in the world as long as they do not break Russian law.

SANCTIONS ON WAGNER

The Biden administration on Wednesday unveiled new curbs on technology exports to the Wagner Group in a bid to further choke off its supplies.

More sanctions are coming in the weeks ahead against the company and its support group in countries around the world, Kirby said.

Russian businessman Prigozhin is spending more than $100 million per month to fund Wagner’s operations in Ukraine, but has encountered problems recruiting Russians to fight there, Kirby said.

The Wagner Group, staffed by veterans of the Russian armed forces, has fought in Libya, Syria, the Central African Republic and Mali, among other countries.

U.S. intelligence indicates that Wagner has played a major role in the battle for the Ukrainian city of Bakhmut and has suffered heavy casualties there with about 1,000 Wagner fighters killed in recent weeks, most of them convicts, Kirby said.

Inside Russia, Prigozhin’s influence is expanding, and his group’s independence from the Russian Defense Ministry “has only increased and elevated over the course of the 10 months of this war,” Kirby said, without providing evidence.

Kirby said that in some instances, Russian military officials in Ukraine were subordinate to Wagner forces.

In addition, Prigozhin has criticized Russian generals and defense officials for their performance since the invasion.

Reporting by Steve Holland; Additional reporting by Idrees Ali, Michelle Nichols and Jarrett Renshaw; Editing by Ross Colvin, Heather Timmons and Daniel Wallis

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Amazon’s connected device cart grows with $1.7 billion deal for Roomba maker

Aug 5 (Reuters) – Amazon.com Inc (AMZN.O) will acquire iRobot Corp (IRBT.O), maker of robotic vacuum cleaner Roomba, in an all-cash deal for about $1.7 billion, in the latest push by the world’s largest online retailer to expand its stable of smart home devices.

Amazon will pay $61 per share, valuing iRobot at a premium of 22% to the stock’s last closing price of $49.99.

iRobot’s shares rose 19% in early Friday trading to $59.56. At its peak during pandemic lockdowns, iRobot was trading at more than twice that price as hygiene-conscious consumers invested in premium vacuum cleaners.

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Amazon already owns virtual assistant Alexa, Ring, which monitors homes, and a smart thermostat, giving it a range of products in the “internet of things” category, said Ethan Glass, an antitrust expert with law firm Cooley LLP.

He said the U.S. Federal Trade Commission, which is already investigating Amazon, would likely review the transaction.

“I would say there is a three out of four chance of a deep investigation and a one out of four chance of a challenge,” he said. “The political appointees have made clear that they would rather go to court and lose than let a deal through that later is criticized as anti-competitive, especially as they seek to change the laws.”

Charlotte Slaiman of Public Knowledge added that antitrust enforcers now saw the risk of under-enforcement as an issue rather than just over-enforcement. “The costs of inaction are much higher than antitrust experts used to think,” she said.

Besides sweeping up dirt, Roomba vacuums that cost as much as $1,000 collect spatial data on households that could prove valuable to companies developing smart home technology.

But iRobot’s fortunes took a hit as consumers started rethinking how they spend their money amid rising inflation. Its second-quarter revenue fell 30% on weak demand from retailers in North America and Europe, Middle East and Africa.

The deal comes at a time analysts expect cash-rich technology companies to go on an M&A spree to take advantage of low valuations due to growth pressures. Amazon currently has cash and cash-equivalents of more than $37 billion.

Devices make up a fraction of overall sales at Amazon, but include smart thermostats, security devices and it has recently launched a canine-like robot called Astro.

“It seems like (CEO) Andy Jassy is going to employ M&A more than (predecessor) Jeff Bezos and it makes more sense to me now that Amazon is bigger and has more cash,” said D.A. Davidson analyst Thomas Forte.

If the deal falls through, Amazon would be required to pay iRobot a $94 million termination fee. On completion of the deal, Colin Angle would remain as the chief executive of iRobot.

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Reporting by Akash Sriram and Nivedita Balu in Bengaluru Additional reporting by Diane Bartz in Washington
Editing by Arun Koyyur and Mark Potter

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Biden unveils new Latin America economic plan at reboot summit dogged by dissent

LOS ANGELES, June 8 (Reuters) – President Joe Biden announced on Wednesday a proposed new U.S. economic partnership with Latin America aimed at countering China’s growing clout as he kicked off a regional summit marred by discord and snubs over the guest list.

Hosting the Summit of the Americas in Los Angeles, Biden sought to assure the assembled leaders about his administration’s commitment to the region despite nagging concerns that Washington, at times, is still trying to dictate to its poorer southern neighbors.

The line-up of visiting heads of state and government in attendance was thinned down to 21 after Biden excluded Cuba, Venezuela and Nicaragua, prompting Mexican President Andres Manuel Lopez Obrador and several other leaders to stay away in protest.

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“We have to invest in making sure our trade is sustainable and responsible in creating supply chains that are more resilient, more secure and more sustainable,” Biden told a gala opening ceremony.

Biden is seeking to present Latin American countries with an alternative to China that calls for increased U.S. economic engagement, including more investment and building on existing trade deals.

However, his “Americas Partnership for Economic Prosperity,” which still appears to be a work in progress, stops short of offering tariff relief and, according to a senior administration official, will initially focus on “like-minded partners” that already have U.S. trade accords. Negotiations are expected to begin in early fall, the official added.

Biden outlined his plan as he launched the summit, which was conceived as a platform to showcase U.S. leadership in reviving Latin American economies and tackling record levels of irregular migration at the U.S.-Mexico border.

But his agenda has been undermined by the partial boycott by leaders upset at Washington’s decision to cut out its main leftist antagonists in the region.

As a result, Biden found himself welcoming a larger-than-normal contingent of foreign ministers sitting in for their national leaders as the arriving dignitaries walked one-by-one up a red carpet flanked by a military honor guard.

U.S. officials hope the summit and a parallel gathering of business executives can pave the way for greater cooperation as governments grappling with higher inflation work to bring supply chains stretched by the COVID-19 pandemic closer to home.

Biden also used his speech to preview a summit declaration on migration to be rolled out on Friday, calling it “a ground-breaking, integrated new approach” with shared responsibility across the hemisphere. But he provided few specifics.

Even as Biden deals with priorities such as mass shootings, high inflation and the Ukraine war, the U.S. official said the president is seeking to press the administration’s competitive goals against China with the launch of the new partnership for the region.

The U.S. plan also proposes to revitalize the Inter-American Development Bank and create clean energy jobs

Still, the administration appeared to be moving cautiously, mindful that an initiative that promotes jobs abroad could face U.S. protectionist pushback.

CHINA’S CHALLENGE

The challenge from China is clearly a major consideration.

China has widened the gap on the United States in trade terms in large parts of Latin America since Biden came into office in January 2021, data show.

An exclusive Reuters analysis of U.N. trade data from 2015-2021 shows that outside of Mexico, the top U.S. trade partner, China has overtaken the United States in Latin America and increased its advantage last year. read more

“The best antidote to China’s inroads in the region is to ensure that we are forwarding our own affirmative vision for the region economically,” the administration official said.

Biden’s aides have framed the summit as an opportunity for the United States to reassert its leadership in Latin America after years of comparative neglect under his predecessor Donald Trump.

But diplomatic tensions broke into the open this week when Washington opted not to invite the three countries it says violate human rights and democratic values.

Rebuffed in his demand that all countries must be invited, Lopez Obrador said he would stay away, deflecting attention from the U.S. administration’s goals and toward regional divisions.

Biden’s national security adviser Jake Sullivan told reporters the choice by some leaders not to attend reflected their own “idiosyncratic decisions” and that substantive work would still be accomplished.

Cuban President Miguel Diaz-Canel said the United States lacked “moral authority” to lecture on democracy and thanked Lopez Obrador for his “solidarity.”

The leaders of Guatemala and Honduras, two of the countries that send most migrants to the United States, also stayed home, raising questions about the significance of the coming joint migration declaration.

Still, leaders from more than 20 countries, including Canada, Brazil and Argentina, are attending the summit, hosted by the United States for the first time since its inaugural session in 1994.

Biden will use a meeting on Thursday with Brazilian President Jair Bolsonaro to talk about climate change and will also discuss the topic of “open, transparent and democratic elections” in Brazil. read more

Bolsonaro, a populist admirer of Trump who has had chilly relations with Biden, has raised doubts about Brazil’s voting system, without providing evidence, ahead of October elections that opinion polls show him losing to leftist rival Luiz Inacio Lula da Silva.

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Reporting by Trevor Hunnicutt, Daina Beth Solomon, Matt Spetalnick, Dave Graham, Humeyra Pamuk; Additional reporting by Jeff Mason, Steve Holland and Dave Sherwood; writing by Matt Spetalnick and Dave Graham; Editing by Grant McCool and Richard Pullin

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Morning Bid: Sell everything (except the dollar)!

A trader works on the trading floor at the New York Stock Exchange (NYSE) in Manhattan, New York City, U.S., May 5, 2022. REUTERS/Andrew Kelly/Files

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A look at the day ahead in markets from Dhara Ranasinghe.

When the blue-chip Dow Jones index slides more than 1,000 points on one day, U.S. Treasury yields jump as much as 20 basis points and Britain’s pound drops more than 2%, you’d be forgiven for thinking that investors have gone into a sell everything mode.

But with the safe-haven dollar at 20-year highs, there was at least one asset benefiting from Thursday’s market mayhem.

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For sure, waters seem calmer as European trading gets underway, although Asia shares slumped overnight.

Having breathed a sigh of relief that the Federal Reserve didn’t opt for a massive 75 bps rate hike at this week’s meeting, in a change of mind investors fretted that aggressive rate hikes – like the 50 bps move the Fed delivered – could trigger a sharp economic slowdown or recession.

Adding to the volatility was a surge in U.S. real or inflation-adjusted bond yields, which rose to their highest since early 2020 .

The Bank of England warning of recession risk and inflation rising above 10% only exacerbated concerns about the growth outlook, sparking the biggest one-day drop since March 2020 (and we all remember why that month stands out, right?)

Given that it’s non-farm payrolls day in the United States, Friday’s trading session may not bring a quiet end to the week.

Economists polled by Reuters predict the U.S. economy created a solid 391,000 new jobs in April, versus 431,000 a month earlier.

The unemployment rate is expected to fall to 3.5%, which would make a pre-pandemic low.

The jobs data, alongside next week’s U.S. inflation data , should help frame the debate over the Fed policy outlook.

Key developments that should provide more direction to markets on Friday:

– Tokyo consumer prices rise at fastest pace in 7 years read more

– ECB must quickly raise key rates, says head of Germany’s Ifo institute –

– Swedish Central Bank minutes

– Federal Reserve Bank of New York President John Williams

– U.S. non-farm payrolls

– Brazil April CPI

– European earnings: Adidas, IAG, Amadeus, Intesa San Paulo, Beazley

– U.S. earnings: CIGNA, Goodyear

US non-farm payrolls
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Reporting by Dhara Ranasinghe, editing by Karin Strohecker

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Higher estrogen levels linked to lower COVID death risk; antacid shows promise addressing symptoms

Feb 16 (Reuters) – The following is a summary of some recent studies on COVID-19. They include research that warrants further study to corroborate the findings and that has yet to be certified by peer review.

Higher estrogen levels tied to lower COVID death risk

A new study strengthens suspicions that the female hormone estrogen protects against death from COVID-19.

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Researchers in Sweden studied 14,685 older women with COVID-19, all of whom were past menopause, during which estrogen levels decline dramatically. Seventeen percent were taking estrogen supplements to relieve menopausal symptoms. After adjusting for other risk factors, women getting extra estrogen had a 53% lower risk of dying from COVID-19 compared to untreated women, the researchers reported on Monday in BMJ Open. Observational studies such as this one cannot prove higher estrogen levels are protective. Furthermore, the women were infected before vaccines were available, said Dr. Malin Sund of Umea University.

“Vaccination has clearly been shown to protect from COVID-19 related mortality and the potential added value from estrogen (in vaccinated women) cannot be estimated from this data,” Sund said. The idea that estrogen might be protective in hospitalized COVID-19 patients is now being tested more rigorously in a randomized controlled trial at Tulane University.

Antacid shows promise against COVID-19 symptoms

In non-hospitalized, unvaccinated adults with mild-to-moderate COVID-19, treatment with a high dose of the antacid drug famotidine helped speed resolution of symptoms and inflammation in a small randomized controlled trial.

Roughly half of those in the 55-patient trial took famotidine – the main ingredient in Johnson & Johnson’s (JNJ.N) widely used over-the-counter Pepsid heartburn drug – three times a day for two weeks. The others took a dummy pill. Patients in the famotidine group had faster resolution of 14 of 16 symptoms assessed in the study, including loss of smell and taste, difficulty breathing and abdominal pain. Famotidine treatment also led to faster improvements in markers of inflammation without any detrimental effects on patients’ immune responses, the researchers reported in the journal Gut. About a third of the study’s participants were Black and a quarter Hispanic.

“We hope that the data we are sharing with this study guide future trials that are necessary to confirm famotidine as a treatment for patients with COVID-19,” study leader Dr. Tobias Janowitz of Northwell Health and Cold Spring Harbor Laboratory said in a news release.

U.S. may have overestimated COVID-19 hospitalizations

U.S. statistics likely overestimate how many patients have been hospitalized for COVID-19, according to a new study.

At 60 hospitals near Boston, Pittsburgh and Chicago, researchers manually reviewed the charts of a random sample of 1,123 patients with confirmed coronavirus infections hospitalized between March 2020 and August 2021. Roughly 1-in-4 patients “actually were admitted for a different problem and should not have been included” in data analytics calculations of the severity of COVID-19, said Dr. Shawn Murphy of Massachusetts General Hospital in Boston. Patients were more likely to have been admitted specifically for COVID-19 when local infection rates were high, his team reported on Tuesday on medRxiv ahead of peer review. When infection rates were low last summer, up to half the patients were hospitalized for other reasons, with SARS-CoV-2 infection found coincidentally on mandatory testing. The researchers were able to identify indicators in patients’ charts that admissions were actually due to COVID-19, such as whether doctors ordered lab tests related to inflammation.

“This study highlights an important weakness in COVID-19 reporting, which might have implications on intensive care utilization, cost analysis, resource planning, and research,” said Jeffrey Klann, also of Mass General. Adding the identified indicators to data analytics software “could help mitigate these problems.”

Click for a Reuters graphic on vaccines in development.

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Reporting by Nancy Lapid and Megan Brooks; Editing by Bill Berkrot

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U.S. CDC urges Americans to wear ‘most protective mask you can’

People wait in line to be tested for coronavirus disease (COVID-19) at the Tower Theatre in Oklahoma City, Oklahoma, U.S., January 11, 2022. REUTERS/Nick Oxford

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WASHINGTON, Jan 14 (Reuters) – The U.S. Centers for Disease Control and Prevention (CDC) on Friday revised its guidance for Americans on wearing masks to protect against COVID-19, recommending donning “the most protective mask you can” while stopping short of advocating nationwide usage of N95 respirators.

The CDC, an agency critics have accused of offering shifting and confusing guidance amid the pandemic, clarified on its website “that people can choose respirators such as N95s and KN95s, including removing concerns related to supply shortages for N95s.”

Americans should “wear the most protective mask you can that fits well and that you will wear consistently,” the CDC added.

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The United States leads the world in COVID-19 deaths – roughly 850,000 – even as it battles a surge of cases involving the fast-spreading Omicron coronavirus variant. Complicating matters is the refusal of some Americans to get vaccinated.

President Joe Biden said on Thursday that the federal government plans to make “high-quality masks” available to Americans for free. In another step, the White House on Friday said the government will begin shipping 500 million COVID-19 tests to Americans later this month without charge.

The CDC said it wants to encourage Americans to wear masks rather than push them to wear the highest-grade face protection, but also explicitly said that respirators provide the best level of protection. It said that “loosely woven cloth products provide the least protection.”

“Masking is a critical public health tool to prevent the spread of COVID-19, and it is important to remember that any mask is better than no mask,” the CDC added.

The CDC said the revised recommendations “reflect the science on masking, including what we have learned in the past two years,” since the start of the pandemic.

More Americans have been recently opting for higher-grade protection amid the surge in cases.

The United States is tallying about 1,800 COVID-19 deaths and 780,000 new infections daily – the most in the world – as well as record levels of hospitalized patients.

The Omicron-related surge appears to be slowing in areas that were hit first, including states in the Northeast and South, according to a Reuters analysis. In Western states, the number of new cases climbed 89% in the past week compared with the previous week.

The CDC last May announced that fully vaccinated people could shed their face coverings, as COVID-19 cases were then on the decline. But in July, the CDC said fully vaccinated people should wear masks in indoor public places in regions where COVID-19 was spreading rapidly. The CDC said this week 99.5% of U.S. counties currently are covered by the mask recommendation.

Some U.S. N95 makers told Reuters they had record N95 sales after Anthony Fauci, Biden’s chief medical adviser, recommended on CNN that Americans “get the highest quality mask that you can tolerate and that’s available to you.”

N95 masks that are worn correctly will filter out at least 95% of particulate matter in the air, preventing anything larger than 0.3 micron from passing through.

Los Angeles County, the nation’s most populous, on Monday will require some employers to provide “medical-grade” masks – surgical masks, KF94, KN95s or N95s – to workers at high risk of contracting a COVID-19 infection on the job.

Masks remain polarizing. Biden, a Democrat, this week again urged people to wear masks and noted that about a third of Americans report they do not wear a mask at all. Many Republican-leaning states have no mask requirements. Some Democratic-governed states such as California have reimposed indoor mask mandates.

Blair Childs, an executive at Premier Inc (PINC.O), a group-purchasing company for hospitals, expressed concern about legislation backed by U.S. Senator Bernie Sanders that would send every person in the country a pack of three N95 masks. Childs said such proposals could “throw the healthcare supply chain into disarray.”

Days after taking office in January 2020, Biden imposed mask requirements on airplanes, trains and public transit and in airports and other transit hubs – actions his predecessor Donald Trump declined to take. Biden last month extended the transit mask requirements through March 18. The CDC on Friday said N95 masks may be considered for use in places like transit “when greater protection is needed or desired.”

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Reporting by David Shepardson in Washington; Additional reporting by Lisa Baertlein in Los Angeles; Editing by Will Dunham, David Gregorio and Matthew Lewis

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China’s Tianjin outbreak grows as Omicron spreads to Dalian

BEIJING, Jan 13 (Reuters) – China’s northern port city of Tianjin reported an increase in COVID-19 infections on Thursday as it stepped up efforts to rein in an outbreak that has spread the highly transmissible Omicron variant to another city.

Omicron has brought new challenges for China’s strategy to quickly stamp out outbreaks, which has taken on urgency ahead of the Winter Olympics set to start from Feb. 4, while the busy Lunar New Year travel season begins this month.

Volkswagen Group’s (VOWG_p.DE) China unit said it had shut a vehicle plant run jointly with FAW Group in Tianjin, as well as a component factory since Monday due to the outbreak. read more

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Tianjin, located about 100 km (62 miles) from the capital Beijing, reported 41 domestically transmitted infections with confirmed symptoms on Wednesday, up from 33 a day earlier, National Health Commission data showed.

Dalian in the northeast also reported an individual arriving from Tianjin had tested positive for Omicron, city officials said. It said the virus situation was “largely controllable”.

Anyang in the central province of Henan reported 43 local symptomatic cases on Wednesday, after two Omicron infections on Monday. It traced the flare-up to a student from Tianjin. read more

Case numbers in Tianjin and Anyang are tiny compared with outbreaks in many other countries, though the number of local Omicron infections is unclear. Still, officials imposed curbs on movement within the cities and outside.

Several cities across China have ordered quarantine for recent visitors to the two cities. Beijing is among the many cities urging people to stay put during the Lunar New Year holiday.

Citing the Omicron risk and the need to keep the Olympics Games safe, officials in the capital encouraged commuters from satellite towns to work from home.

People line up at a nucleic acid testing site during the second round of mass testing for the coronavirus disease (COVID-19), after local cases of the Omicron variant were detected in Tianjin, China January 12, 2022. Picture taken January 12, 2022. China Daily via REUTERS

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There were no new deaths on Wednesday, leaving the toll since the virus was first found two years ago in China unchanged at 4,636.

IMPORTED INFECTIONS

Zhang Wenhong, director of a COVID-19 treatment team in Shanghai, said on Thursday the public health clinic in the commercial hub faced a record number of infections arriving from overseas.

Imported cases in Shanghai during the first 10 days of this month have already exceeded December’s total, Reuters calculations showed. How many were caused by Omicron is unclear.

China has suspended more U.S. flights after a surge in numbers of infected passengers.

Its tough measures against local outbreaks included punishment for officials, with 11 people held to account in Anyang by Wednesday for failing to properly control the virus.

On Thursday, city authorities in the ancient town of Xian ordered two hospitals to suspend operations for three months for failures in providing medical care during the outbreak.

The move drove down shares of their owner, XiAn International Medical Investment Co (000516.SZ), by 10%, or the maximum permitted daily percentage change.

One of the hospitals apologised for rigid virus controls that delayed treatment for a patient who suffered a heart attack and died.

The story of a pregnant woman who lost her unborn baby after waiting for two hours outside the other hospital provoked anger on Chinese social media and brought punishment for city officials. read more

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Reporting by Roxanne Liu, Ella Cao and David Stanway; Editing by Tom Hogue and Clarence Fernandez

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Doctors weigh COVID-19 impact on children as vaccine drives ramp up

JERUSALEM, Dec 9 (Reuters) – One month after her son Eran had recovered from a mild case of COVID-19, Sara Bittan rushed the three-year-old to the emergency room. He had high fever, a rash, his eyes and lower body were swollen and red, his stomach was hurting and he was crying in pain.

Eventually diagnosed with the rare multisystem inflammatory syndrome in children (MIS-C), also known as pediatric inflammatory multisystem syndrome, or PIMS, Eran was hospitalized in October for a week and has fully recovered, Bittan said.

“It is important for me to tell parents, mothers, all over the world that there is a risk. They should know,” said Bittan. “He suffered a lot and I suffered with him.”

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Two years into the COVID-19 pandemic, doctors worldwide are learning more about how the illness impacts children.

While cases of severe illness and death remain far more rare among pediatric patients than adults, tens of thousands of children may struggle with its effects. The U.S. Centers for Disease Control and Prevention (CDC) cites COVID-19 as one of the top-10 causes of death among children age 5 to 11.

A very small portion can suffer badly from complications, such as PIMS, which affects fewer than 0.1% of infected children. “Long COVID” – the persistence of symptoms weeks or months after infection – affects children as well as adults.

A growing number of countries are making COVID-19 vaccines eligible for younger children. The European Union will begin a campaign to inoculate 5- to 11-year-olds next week, while a similar U.S. vaccination drive that began in November appears to be losing momentum.

Doctors hope the knowledge they have gained will not only improve treatment, but also help parents understand the risks of COVID-19 as they consider vaccinating their children.

“Long COVID and PIMS are a major consideration in getting vaccinated,” said Liat Ashkenazi-Hoffnung, who heads the post-coronavirus clinic at Schneider Children’s Medical Center of Israel.

PIMS, which typically occurs a few weeks after coronavirus infection, is caused by the immune system suddenly going into overdrive, creating inflammation in the heart, lungs, kidneys, brain, and gastrointestinal organs. Affected children may spend up to two weeks in hospital, some requiring intensive care.

The CDC cited close to 6,000 PIMS cases nationwide, including 52 deaths. It is roughly estimated at 3 cases per 10,000 children, according to Boston Children’s Hospital’s Audrey Dionne, about in line with some European statistics and with the Israeli estimate of one in every 3,500 children infected and a fatality rate of 1%-2%.

Singapore’s Ministry of Health cites six cases of PIMS among more than 8,000 pediatric COVID-19 cases.

‘VERY DISHEARTENED’

Doctors say they have learned how to better treat the condition with most children recovering. UK studies of children six months and one year after PIMS show that most problems had resolved.

“Children from the second wave and now from the third wave (of COVID-19) are benefiting from the information of the first wave,” said Karyn Moshal, a pediatric infectious diseases expert at London’s Great Ormond Street Hospital.

A six-month assessment by Moshal and colleagues published in the Lancet found organ damage to be uncommon in children who were hospitalized with PIMS. Lingering symptoms including mental fatigue and physical weakness often persisted, but resolved with time.

“They get tired more quickly. So schoolwork is affected because they can only concentrate for a shorter period of time,” Moshal said. “Understanding this is important both for the families and for the young people because they can get very disheartened, and also for schools and teachers to understand how to deal with it.”

Several UK and U.S. studies have found that PIMS is more likely to affect Black, Hispanic and Asian children, although the reasons for that are still unknown.

Identifying long COVID in children presents more of a challenge. Determining its prevalence depends on what symptoms are looked at, and from whom the information is collected – physicians, parents or the children themselves, said Ashkenazi-Hoffnung.

Cautious estimates find about 1% of children with coronavirus will suffer long COVID, said Zachi Grossman, chairman of the Israel Pediatric Association.

Ashkenazi-Hoffnung said her clinic has treated around 200 children for long COVID.

She believes that is likely only the “tip of the iceberg” among previously healthy children and teens, who months after being infected suffer symptoms such as shortness of breath, fatigue, chest pain, headaches, tremors and dizziness.

“It can dramatically affect quality of life,” she said.

Simple actions like climbing stairs, running for a bus or simply standing or walking are intolerable, Ashkenazi-Hoffnung said. Some children have developed asthma-like symptoms or hearing loss, and some toddlers who had been walking reverted to crawling because they were so tired and achy.

Most children do recover with time, she said, aided by physiotherapy and medication. Around 20% are still struggling.

Ashkenazi-Hoffnung and Moshal noted an extra burden observed in children who suffered PIMS or long COVID – a sense of stigma and shame.

“I was quite shocked by this,” said Moshal. “You can’t ascribe blame or shame for being infected with a disease.”

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Additional reporting by Rami Amichay in Tel Aviv, Hannah Confino and Rinat Harash in Jerusalem; Aradhana Aravindan in Singapore; Alistair Smout and Josephine Mason in London and Stephanie Ulmer-Nebehay in Geneva; Writing by Maayan Lubell; Editing by Michele Gershberg and Bill Berkrot

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