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  • A strong fall COVID booster campaign could save 90,000 U.S. lives and avoid more than 936,000 hospitalizations, study finds

    A strong fall COVID booster campaign could save 90,000 U.S. lives and avoid more than 936,000 hospitalizations, study finds

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    A strong fall COVID booster campaign could save about 90,000 people living in the U.S. from dying of the virus and avoid more than 936,000 hospitalizations, according to a new study by the Commonwealth Fund.

    As immunity wanes and new variants that can evade protection from early vaccines emerge, surges in hospitalizations and deaths are increasingly likely this fall and winter, the authors wrote. That makes it important that people get the bivalent boosters recently authorized by the Food and Drug Administration and help stop transmission, they wrote.

    Researchers analyzed three scenarios to evaluate the impact of vaccination on reducing fatalities, hospitalizations and medical costs to both the Medicare and Medicaid programs.

    The first measured the outcome if daily vaccination rates remain unchanged from current levels; they have gradually declined since the first wave of the omicron variant. Federal financial support has also not been replenished, amid a perception among many Americans that the pandemic is over and as congressional Republicans oppose legislative efforts to continue the pandemic fight.

    As of Oct. 3, some 68% of the U.S. population has had primary shots, but fewer than half of those have received a booster dose, and only 36% of those aged 50 and older have had a second booster.

    The second and third Commonwealth Fund scenarios looked at outcomes if rates increased by the end of 2022.

    In one scenario, researchers imagined booster uptake would track flu-shot coverage in 2020 to 2021. The other scenario assumed 80% of eligible individuals 5 and older get a booster by the end of 2022.


    Source: Commonwealth Fund

    The data found that more than 75,000 deaths could be prevented along with more than 745,000 hospitalizations if coverage reaches similar levels to 2021 to 2022 flu vaccination. The best scenario would save $56 billion in direct medical costs over the course of the next six months.

    “Stratifying by insurance type, we found direct medical costs would be reduced by $11 billion for Medicare alone under scenario 1 and $13 billion under scenario 2,” the authors wrote. “An additional $3.5 to $4.5 billion in savings would accrue to Medicaid. Even if the federal government paid all vaccination costs, accelerated campaigns would generate more than $10 billion in net savings from federal programs like Medicare and Medicaid.”

    The study comes as U.S. known cases of COVID are continuing to ease and now stand at their lowest level since late April, although the true tally is likely higher given how many people are testing at home, with data not being collected.

    The daily average for new cases stood at 44,484 on Tuesday, according to a New York Times tracker, down 22% from two weeks ago. Cases are rising in most northeastern states by 10% of more, while cases in the are rising in the western states Montana, Washington and Oregon.

    The daily average for hospitalizations was down 12% at 27,334, while the daily average for deaths is down 8% to 393. 

    The new bivalent vaccine might be the first step in developing annual Covid shots, which could follow a similar process to the one used to update flu vaccines every year. Here’s what that process looks like, and why applying it to Covid could be challenging. Illustration: Ryan Trefes

    Coronavirus Update: MarketWatch’s daily roundup has been curating and reporting all the latest developments every weekday since the coronavirus pandemic began

    Other COVID-19 news you should know about:

    • Long COVID, a condition that can encompass symptoms such as respiratory distress, cough, “brain fog,” fatigue and malaise that last 12 weeks or longer after initial infection, is becoming a long-term challenge as both employers and workers navigate an ever-mutating virus, according to Liz Seegert, writing for NextAvenue.org. The Centers for Disease Control and Prevention found that one in five COVID survivors younger than 65 experienced at least one incident that might be related to previous COVID-19 infection. Among those 65 and older, the rate was one in four. Their data also show that nearly three times as many people age 50 to 59 currently have long COVID than those 80 or older.

    • A retired judge opened a public inquiry on Tuesday into how Britain handled the coronavirus pandemic, saying bereaved families and those who suffered would be at the heart of the proceedings, the Associated Press reported. Former Court of Appeal judge Heather Hallett said the inquiry would investigate the U.K.’s preparedness for a pandemic, how the government responded, and whether the “level of loss was inevitable or whether things could have been done better.”

    With each mutation, the Covid-19 virus is becoming more transmissible. WSJ’s Daniela Hernandez breaks down the science of how Covid variants are getting better at infecting and spreading. Illustration: Rami Abukalam

    • Health experts are keeping an eye on new versions of the BA.5 omicron subvariant amid concerns those virus versions can evade the drugs developed to fight COVID, Salon reported. Of particular concern are two named BQ.1 and BQ.1.1, along with BA.2.75.2, which is spreading in Singapore, India and parts of Europe. Then there’s XBB, which some research suggest is the most antibody-evasive strain tested so far. The World Health Organization said in its weekly update on the virus that BA.5 descendent lineages continued to be dominant in the latest week, accounting for 80.8% of sequences shared through a global database. It also noted “increased diversity” within omicron and its lineages.

    • Eiger BioPharmaecuticals Inc.
    EIGR,
    -5.01%

    said Wednesday it will not pursue emergency authorization of its experimental treatment for mild and moderate COVID-19 infections. It had asked the Food and Drug Administration to consider an EUA application based on data from the Together trial, a Phase 3 study that has assessed 11 possible treatments for COVID-19 that is being conducted in Brazil and Canada. Eiger said the FDA instead recommended the company consider running its own pivotal trial for peginterferon lambda that would support full approval of the drug.

    Here’s what the numbers say:

    The global tally of confirmed cases of COVID-19 topped 619.2 million on Wednesday, while the death toll rose above 6.55 million, according to data aggregated by Johns Hopkins University.

    The U.S. leads the world with 96.5 million cases and 1,060,446 fatalities.

    The Centers for Disease Control and Prevention’s tracker shows that 225.3 million people living in the U.S., equal to 67.9% of the total population, are fully vaccinated, meaning they have had their primary shots. Just 109.9 million have had a booster, equal to 48.8% of the vaccinated population, and 23.9 million of those who are eligible for a second booster have had one, equal to 36.6% of those who received a first booster.

    Some 7.6 million people have had a shot of the new bivalent booster that targets the new omicron subvariants that have become dominant around the world.

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  • U.S. stocks finish choppy session with losses, snap 2-day winning streak as investors assess positive economic data

    U.S. stocks finish choppy session with losses, snap 2-day winning streak as investors assess positive economic data

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    U.S. stock indexes ended modestly lower on Wednesday, despite briefly turning positive in the final hour of trading, while data showed steady growth in private-sector jobs and in the service sector, indicating more scope for the Federal Reserve to continue to raise interest rates.

    How stocks traded?
    • The Dow Jones Industrial Average
      DJIA,
      +0.03%

      lost 42.45 points, or 0.1%, to finish at 30,273.87

    • The S&P 500
      SPX,
      +0.21%

      was off 7.65 points, or 0.2%, ending at 3,783.28

    • The Nasdaq Composite
      COMP,
      +18.82%

      shed 27.77 points, or 0.2%, to end at 11,148.64

    On Tuesday, the Dow jumped 825 points, or 2.8%, while the S&P 500 increased 3.1% and the Nasdaq Composite rallied 3.3%.

    What drove markets?

    Wall Street stocks finished in the red after three main indexes bounced back from earlier losses in the final hour of trade, following a strong September private employment report in the morning.

    Data released Wednesday showed that private-sector payrolls rose by 208,000 in September, indicating steady growth and supporting the view that the Fed has enough scope to keep raising interest rates. Economists surveyed by The Wall Street Journal had expected a rise of 200,000.

    The report came two days before the closely watched nonfarm payrolls data issued by the Bureau of Labor Statistics. Investors are eying on it for important guidance on the Fed’s policy stance in the November meeting.

    Friday’s employment report is expected to show the economy added 275,000 jobs in September, compared with 315,000 new positions added in August, according to a survey polled by Dow Jones.

    See: Hiring and job creation seen falling to a 1 1/2-year low in U.S. September jobs report

    “That certainly could move the needle,” said Kristina Hooper, chief global market strategist at Invesco. “Again, it doesn’t mean that it actually is going to change the market, but it could be the catalyst for short term rally if we get a disappointing jobs report.”

    “But keep in mind, that’s just the anticipation of a Fed pivot based on data. But that does not ensure a Fed pivot. And so it could be one of those short-term rallies like the one we saw earlier this week,” Hooper said.

    In other data Wednesday, an ISM barometer of U.S. business conditions in the service sector dipped to 56.7% in September but still showed steady growth and rising employment in a sign the economy is still expanding.

    The U.S. trade deficit in August fell to $67.4 billion, the lowest level since mid 2021, paving the way for a resumption of growth in gross domestic product in the third quarter.

    See: Why investors shouldn’t expect a break from the stock-market whiplash, says this strategist

    The S&P 500 had just enjoyed its largest two day percentage gain since April 2020 on Monday and Tuesday, and the best start to a quarter since 1938, according to Dow Jones Market data.

    The bounce followed three quarters of declines, the worst such run since 2008, during which time the S&P 500 fell 24.8% to a near two-year trough as investors worried that the Federal Reserve’s interest rate hikes to crush inflation would harm the economy.

    Brian Mulberry, client portfolio manager at Zacks Investment Management, believes the volatility in the stocks will continue because markets are getting a very “consistent message” from the Fed.

    “Given what has happened over the last five trading sessions alone, we would be basically telling our clients to tighten your seatbelt a little bit because it’s definitely going to continue to be a bumpy ride,” Mulberry told MarketWatch in a phone interview on Wednesday. “If we get a ‘Goldilocks’ (jobs) report, that would mean decent economic activity is going on. That’s good for earnings overall in the market, but it’s not growing to a point where interest rates would have to be ratcheted up another 125 basis points by the end of the year.”

    See: The stock market is surging as the U.S. dollar retreats. It’s all about bonds.

    One major reason behind the rise early this week was the view that the Fed would pivot away from its aggressive monetary tightening.

    Johanna Chua, chief Asia economist at Citi, said that though U.S economic growth remained in better shape than other countries and Fed officials continued to sound hawkish, the market risked being wrongfooted by any signs that interest rates could soon peak.

    “Even as the overall fundamental setup has not changed… trimming of bearish risk/bearish rates/bullish USD positions has driven a sharp reversal,” Chua said.

    Mary Daly, president of the Federal Reserve Bank of San Francisco said Wednesday that the Federal Reserve needs to keep raising its benchmark interest rate in order to cool inflation that hit a 40-year high earlier this year and has shown little signs of cooling. Atlanta Fed President Raphael Bostic will speak at 4 p.m. Eastern.

    Meanwhile, the OPEC+ group said Wednesday that it will reduce its collective crude production levels by 2 million barrels a day starting next month, the biggest cut since the start of the pandemic. Oil futures headed higher with West Texas Intermediate crude for November delivery
    CL00,

     
    CLX22,

    rose $1.24, or 1.4%, to settle at $87.76 a barrel on the New York Mercantile Exchange.

    The S&P 500’s energy sector
    SP500.10,
    -0.07%

    rose 2.1% following the news, up 12.6% over the last three trading days. According to Dow Jones Market Data, it was the best three-day percentage gain since November 2020 when it gained 16.1%. Shares of Schlumberger 
    SLB,
    +0.77%

    gained 6.3% at the close, while Exxon Mobil
    XOM,
    +1.32%

    shares advanced 4%.

    Companies in focus
    • Shares of Helen of Troy Ltd. 
      HELE,
      -2.75%

      finished 3.4% higher Wednesday, after the consumer products company, with brands including OXO, Hydro Flask and Braun, reported fiscal second-quarter earnings that beat expectations but cut its full-year outlook, as rising inflation has prompted consumers to change their spending patterns.

    • Shares of Monopar Therapeutics Inc.
      MNPR,
      +6.36%

       gained 1.8% after the company said it completed enrollment in a Phase 2b clinical trial evaluating its experimental therapy aimed at preventing severe oral mucositis in patients undergoing chemoradiotherapy for oropharyngeal cancer.

    • Shares of Eiger BioPharmaceuticals Inc.
      EIGR,
      +0.85%

       tumbled 5% after the company said it will not pursue emergency authorization of its experimental treatment for mild and moderate COVID-19 infections.

    • Shares of Lamb Weston Holdings Inc.
      LW,
      +2.45%

       ended 4.2% higher Wednesday, after the potato supplier reported fiscal first-quarter profit that beat expectations, higher prices helped offset a volume decline.

    —Jamie Chisholm contributed reporting

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