Tuesday, April 14, 2020
8:17 pm ET: Trump to Halt WHO Payments
President Donald Trump said Tuesday that he was cutting off U.S. payments to the World Health Organization during the coronavirus pandemic, accusing the organization of failing to do enough to stop the virus from spreading when it first surfaced in China.
Trump, who had telegraphed his intentions last week, claimed the outbreak could have been contained at its source and that lives could have been saved had the U.N. health agency done a better job investigating the early reports coming out of China.
“The WHO failed in its basic duty and must be held accountable,” Trump said at a briefing. He said the U.S. would be reviewing the WHO's actions to stop the virus before making any decision on resuming aid.
There was no immediate comment from the Geneva-based organization on Trump's announcement. But when asked about possible U.S. funding cuts during a regular U.N. briefing earlier Tuesday, WHO spokeswoman Margaret Harris responded, “Regardless of any issues, our work will go on.” Read more...
— Associated Press
6:40 pm ET: Adjusted NYC Death Toll Passes 10,000
Coronavirus-related deaths in New York City have surged past 10,000 now that officials have revised the tally to include people presumed to have died from the virus, rather than just those with lab-confirmed test results.
The reporting adjustment tacked an additional 3,778 deaths to New York City's official tally, up from 6,589, according to data released by the city.
“Behind every death is a friend, a family member, a loved one. We are focused on ensuring that every New Yorker who died because of COVID-19 gets counted,” New York City Health Commissioner Dr. Oxiris Barbot said in a statement. “While these data reflect the tragic impact that the virus has had on our city, they will also help us to determine the scale and scope of the epidemic and guide us in our decisions.”
The decision to include probable deaths, which the city has defined as New Yorkers without a known positive test but who have “COVID-19” or equivalent listed on their death certificates, followed media reports asserting the city could be substantially undercounting deaths. Read more...
— Chloe Aiello
4:24 pm ET: Stocks End Higher as Traders Hope Restrictions Will Ease
Stocks are ending with solid gains on Wall Street Tuesday as the market turns its attention to how and when authorities may begin to lift business shutdowns and limits on people’s movements imposed to slow the spread of the coronavirus. Big companies also started reporting their first-quarter earnings, giving investors an early peek into how the outbreak was affecting them. Johnson & Johnson rose after beating earnings estimates and raising its dividend, even though the health care giant also had to slash its outlook. JPMorgan Chase and Wells Fargo fell after saying they were bracing for losses on loans as millions of Americans became unemployed. Read more...
1:51 pm ET: Is Adult-Use Cannabis Essential? A Massachusetts Court May Decide
Massachusetts' adult-use cannabis industry will have its day in court Tuesday, as a group of local companies push to have their shops designated as essential businesses amid the ongoing coronavirus pandemic.
Massachusetts Gov. Charlie Baker issued an executive order in late March that extended the closure of nonessential businesses, which in Massachusetts includes adult-use cannabis shops, until May 4. The order does not include medical marijuana dispensaries, which are allowed to continue operating.
Baker has argued that keeping the businesses operational during the pandemic would attract customers from states where adult-use cannabis is still illegal, and further spread the virus.
"If we make recreational marijuana available, we are going to have to deal with the fact that people are going to come here from all over the place, across the Northeast, and create issues for us with respect to the fundamental issue we are trying to solve for here — which is to stop the spread," Baker said at a press conference. Read more...
— Chloe Aiello
1:20 pm ET: Cosmetics CEO and Real Estate Owner on Helping Tenants
When Toni Ko created the popular NYX Professional Makeup, she was just 25 years old and a one-woman show. Since then, she has developed several business ventures and a real estate empire, but she hasn't forgotten her small business roots.
The beauty executive, who owns more than 500,000 square feet of commercial space in Los Angeles, has decided to eliminate April rent for her tenants and allow them to defer May payments, free of interest, until the summer.
“My family, we were the small businesses owners, so I really completely sympathize and have full empathy for my small ‘mom and pop’ tenants,” Ko said.
She is encouraging other property owners to show the same empathy for their tenants, explaining that many small businesses are cash-poor.
“Let’s just say there’s four weeks to a month,” Ko said. “One week you work to pay rent; one week you work to pay your payroll; one week is to pay for water, power, insurance and other costs, and one week is for yourself. A lot of profits are invested in inventory, equipment, and whatnot, so what are they going to do with no revenue coming in?”
Small businesses renting from Ko won’t have to pay May rent until July. She’s also offering a payment plan to ease the financial burden as businesses eventually reopen after months of being closed.
— Elli Fitzgerald
1:00 pm ET: Veteran Paramedic: 'Have a Plan' Amid Delayed EMS Response Times
Tommy Berges has seen firsthand how the coronavirus pandemic has caused delays in essential emergency services. The veteran paramedic and firefighter out of Washtenaw County, Michigan said the outbreak has extended emergency response times from the outset.
"COVID has really changed the entire fire and EMS services overall," Berges told Cheddar. "These time delays actually start when someone actually calls 9-1-1." Read more...
— Alex Vuocolo
12:38 pm ET: Obama Endorses Biden Who He Praises for Past Pandemic Work
Former President Barack Obama endorsed his Vice President Joe Biden, the presumptive Democratic nominee, for president Tuesday.
Obama remains a popular political figure and stayed silent over the past 18 months as the Democratic field ballooned and winnowed, leaving Biden the last one standing.
After speaking about the need to come together and help one another amid the coronavirus pandemic, the former president praised his former partner. Read more...
— Lauren Sonnenberg
12:25 pm ET: NY Gov. Cuomo Argues for States' Rights in Ending Shutdowns
New York Gov. Andrew Cuomo contested President Donald Trump's claim that he has sole authority to reopen the economy.
"The president said last night that he has total authority for determining how and when states reopen," Cuomo said. "That is not an accurate statement, in my opinion."
Cuomo argued that governors are best positioned to know when to reopen their respective economies, though he said he remained committed to working with the federal government and avoiding partisan squabbling amid the coronavirus outbreak.
Indeed, Cuomo joined five other governors on Monday in announcing a cross-state plan to reopen the economy.
The governor reported 196,146 confirmed cases in the state and 10,834 deaths. That's an increase of 778 deaths in one day.
— Alex Vuocolo
12:08 pm ET: Eager Lenders Wait on 'Sidelines' for Govt Approval to Help Small Biz
The United States has more than 5,000 FDIC-insured banks, but only about 1,800 of them are approved to make SBA loans — which means only that many are allowed to make government-guaranteed coronavirus relief loans to small businesses. That's changing now, but how long it takes could make a big difference in the survival rate of America's small businesses.
Last week the Small Business Administration released the lender application for SBA-approval, which would allow other traditional lenders not already SBA-approved, as well as fintech startups, to make loans under the Paycheck Protection Program (PPP), the 100 percent forgivable loan (if used correctly) being offered to small businesses as part of the $350 billion in relief aid promised to them under the CARES Act. The idea is to accelerate the pace at which small businesses can gain capital as the coronavirus pandemic continues to shut down much of the economy. Read more...
— Tanaya Macheel
9:55 am ET: Markets Rise With Coronavirus Optimism
Markets surged Tuesday as investors took heed of the latest optimistic projections on the coronavirus outbreak. President Donald Trump and several governors continue to emphasize that the U.S. is flattening the curve of infections, despite a rising death toll, and more talk is circulating among state and federal leaders about plans to reopen the economy on a staggered basis.
The Dow Jones Industrial Average jumped nearly 600 points after the bell. The S&P 500 and Nasdaq increased more than 2 percent respectively.
It's earnings season as well on Wall Street, and analysts anticipate a major adjustment in companies' expectations for the coming year. This quarter, which started before the pandemic hit the U.S., will only capture some of its impact.
In two early releases, JPMorgan Chase saw its stock price rise, even as it reported a significant decline in profit; and Johnson & Johnson's stock rose as well after showing a relatively strong first quarter, even as it slashed its sales forecast for 2020.
— Alex Vuocolo
9:20 am ET: Johnson & Johnson Slashes Outlook
Johnson & Johnson, anticipating significant impact from the COVID-19 pandemic, slashed its 2020 sales forecast by billions of dollars and also cut its profit expectations.
It's one of the first major U.S. corporations to report first-quarter earnings and likely a harbinger of things to come as the outbreak disrupts the global economy.
The world’s biggest health products maker on Tuesday said it now expects 2020 revenue of $77.5 billion to $80.5 billion, down from its January forecast of $85.4 billion to $86.2 billion. It also forecast adjusted earnings per share of $7.50 to $7.90, down from the January forecast of $9 to $9.15 per share.
J&J faces both the prospect of lower sales as much of the world stays home to avoid infection, and higher costs as it races to develop a vaccine against the new coronavirus. Read more...
— Associated Press
8:10 am ET: Navy Sailor Dies, Sanders For Biden & FedEx Act of Kindness
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U.S. UPDATE: The U.S. death toll has climbed to more than 23,000. Wyoming reported its first coronavirus-related death, becoming the last state to have at least a single death from the virus. The Navy says at least one sailor infected with the virus onboard the USS Theodore Roosevelt has also died. More than 500 sailors reportedly contracted the virus onboard the ship. In Texas, the battle over a temporary ban on abortions amid the pandemic continues, but with good news for providers and supporters: The U.S. 5th Circuit Court of Appeals has reversed a decision to ban medication abortions in the state. Those seeking to terminate a pregnancy have the option to take pills instead of the surgical procedure. CNN
GLOBAL UPDATE: Reported cases around the world continue to rise. Right now, the global count has surpassed two million, and nearly 120,000 people have died. Italy — one of the hardest-hit places in the world — is attempting to resume life and has started rolling back restrictions on certain businesses. Bookstores and shops selling children’s clothes have been allowed to reopen. China has reported about 90 new cases of the virus as that country also begins to resume life after several months on lockdown. WASH POST
DEADLY TORNADOES: The death toll in the south has jumped to at least 30 after several tornadoes ripped through the region on Sunday. Dozens of people were also injured in the storms that stretched more than 700 miles between Texas and North Carolina. Nearly 1.3 million homes also lost power as a result of those brutal storms. ACCUWEATHER
TRUMP & FAUCI DEBACLE: The White House says President Trump is not considering firing Dr. Fauci. Over the weekend, the president retweeted an account that used the hashtag, #FireFauci. The two have publicly disagreed on the best ways to move forward amid the coronavirus pandemic. The White House claims the president’s retweet was an attempt to expose the media’s coverage of the president’s coronavirus-related decision making. That comes as the president gripes with governors about who has authority to reopen state economies. NBC
SANDERS ENDORSES BIDEN: Sen. Bernie Sanders has endorsed former Vice President Joe Biden’s bid for the White House. Sanders joined Biden on a live stream, saying: “We need you in the White House. I will do all that I can to see that that happens, Joe.” The endorsement comes less than a week after Sanders suspended his campaign for the Democratic nomination. While the Sanders endorsement proves valuable to Biden, the Sanders campaign former press secretary Briahna Joy Gray tweeted that she would not be endorsing the former VP. THE HILL
FORMER MARINE ON TRIAL IN RUSSIA: Former Marine Paul Whelan’s Russian espionage case is underway. The Russians say Whelan was caught with a USB drive containing state secrets in December 2018. Whelan denies the claims and says an uninvited friend showed up at his hotel room and planted the flash drive. He faces up to 20 years in prison if convicted. BBC
FINTECH COMPANIES DISTRIBUTE LOANS: Fintech companies have been approved to distribute emergency small business loans under the federal government’s Paycheck Protection Program. Banks were initially the only institutions approved to approve loans. Companies taking part in the distribution of emergency loans include PayPal, Intuit (owner of TurboTax) and Square. TECH CRUNCH
N95 MASK DECONTAMINATION: While the U.S. faces an N95 mask shortage, the FDA has approved an expanded decontamination process using vaporized hydrogen peroxide. Under the expansion, nearly five million masks per day can be cleaned and ready for reuse. The FDA’s previous approval allowed systems to clean just 80,000 masks per day. The sterilization machines are already in use at more than 6,000 hospitals across the U.S. FIERCEBIOTECH
FDA APPROVES SALIVA TESTING: The Food and Drug Administration has approved saliva testing for coronavirus. The test was developed by a Rutgers University-backed company. Saliva testing will likely increase the number of screenings by 10,000 per day and will reduce the amount of personal protective equipment needed since sample collectors don’t need to be near patients during the process. CNBC
KARL-ANTHONY TOWNS'S MOTHER PASSES: The Minnesota Timberwolves released a statement on behalf of NBA star Karl-Anthony Towns, informing fans of the passing of his mother, a month after she was hospitalized due to coronavirus-related complications. Jacqueline Towns was placed in a medically induced coma in March and, according to Karl-Anthony, her condition continued to deteriorate over several days. BLEACHER REPORT
MAMBA DAY: April 13th, otherwise known as Mamba Day, marked Kobe Bryant’s last game in the NBA. Kobe’s wife, Vanessa, celebrated the 60-point career exit with a tribute video posted to Instagram. In the caption, Vanessa pointed out Kobe’s unmatched work ethic and explained how his golden years post-career were dedicated to making up lost time with his daughters. WATCH
LEFTOVERS: FEDEX DRIVER'S EXTRA STEP: A FedEx driver went above and beyond for one Florida family, and it was all caught on camera. A sign on the family’s front door informs visitors that their 11-year-old daughter suffers from type 1 diabetes. A doorbell camera captures the driver returning to his truck for sanitizing wipes and then disinfecting the box. WATCH
