The U.S. jobs market recovery appears to have stalled as coronavirus cases surge in several states across the country, with known infections surpassing 4 million nationwide since the pandemic began. Businesses continue to take public safety measures into their own hands, and on Wall Street, corporate earnings reports reveal the business effects of virus shutdowns: Chipotle Mexican Grill suffered from dining room closures; Twitter reported ad revenue that was down 23%; and airlines including United, Southwest and American have issued stark warnings for the months ahead.
Here are some of the biggest developments Thursday:
The following data was compiled by Johns Hopkins University:
- Global cases: More than 15.3 million
- Global deaths: At least 625,8525
- U.S. cases: More than 4 million
- U.S. deaths: At least 143,820
Studios further delay blockbuster titles
Sony Pictures said it is pushing back the release of the third Tom Holland "Spider-Man" film once more. The web-slinging superhero will return to theaters on Dec. 17, 2021. The film's production was affected by pandemic-related shutdowns, which pushed the initial release date of July 16, 2021 to Nov. 5. It wasn't clear if the latest push was due to production delays.
Similarly, Paramount Pictures announced it had pushed back two of its biggest upcoming films to next year: "A Quiet Place Part II" and "Top Gun: Maverick."
Warner Bros. and Disney also announced changes to their upcoming film slates. The rising number of infection cases in the U.S. is keeping movie theaters closed in many states. — Sarah Whitten
Senate GOP delays relief plan until next week
Senate Republicans have postponed the release of their coronavirus relief package until next week, guaranteeing Congress will miss a deadline to renew extra support for unemployed Americans.
"The [Trump] administration has requested additional time to review the fine details, but we will be laying down the proposal early next week," Senate Majority Leader Mitch McConnell said. "We have an agreement in principle on the shape of the package."
The Senate GOP had planned to reveal the legislation today. That would have allowed negotiations to begin with Democrats on a bill to pass both chambers of the divided Congress.
At the end of this week, states will stop paying the additional $600 per week of unemployment insurance that Congress passed in March. —Spencer Kimball, Jacob Pramuk
Trump cancels Republican convention in Florida
President Donald Trump said the Republican Party will cancel its national convention in Jacksonville, Florida set for next month as coronavirus infections continue to surge in the state.
"People elected me to help and to protect, so I told my team, it's time to cancel the Jacksonville, Florida component of the GOP convention," Trump said during a White House briefing on the coronavirus.
Trump said delegates will still meet for the nomination in North Carolina, and he'll likely hold virtual rallies online that week.
It's the second time the president has adjusted plans for the Republican National Convention. He pushed to move most of the convention out of North Carolina over a dispute with the state's Democratic government about precautions that would limit crowd sizes to maintain social distancing. —Spencer Kimball, Yelen Dzhanova
Disney delays ‘Mulan’ indefinitely, Star Wars and Avatar movies pushed back a year
Theater closures and production shutdowns have forced Disney to make some major changes to its five-year slate of movie releases.
"Mulan" has been displaced from its Aug. 21 release and is marked as "unset" while Disney waits for coronavirus cases in the U.S. to dissipate and for movie theaters to be able to safely reopen to the public.
Production shutdowns have also led the company to postpone the releases of three untitled Star Wars movies and four Avatar sequels by one year.
Slate changes announced Thursday:
- "Mulan" is unset
- "The Personal History of David Copperfield" moving to Aug. 28
- "Death on the Nile" is now debuting on Oct. 23
- "The Empty Man" will arrive on Dec. 4
- "The French Dispatch" is unset
- "Antlers" is now dated Feb. 19, 2021
- "The Last Duel" will arrive Oct. 15, 2021
- An untitled Disney Live Action film will take the place of "Avatar 2" on Dec. 16, 2021.
- "Avatar 2" pushed to Dec. 16, 2022
- Untitled Star Wars moved to Dec. 22, 2023
- "Avatar 3" now dated Dec. 20, 2024
- Untitled Star Wars redated to Dec. 19, 2025
- "Avatar 4" will arrive Dec. 18, 2026
- Untitled Star Wars moved to Dec. 17, 2027
- "Avatar 5" now slated for Dec. 22, 2028
California reports record single-day death toll
California Gov. Gavin Newsom said in a Twitter post that the coronavirus killed an additional 157 people on Wednesday, a grim single-day record that brings the state's total to more than 8,000 deaths, according to California's coronavirus dashboard.
On Wednesday, after Newsom announced a record number of additional coronavirus cases, he noted that the reported death toll in the state has fluctuated daily. California has surpassed New York in its total number of cases, making it the state with the most reported cases in the U.S., although it has far fewer total deaths. — Noah Higgins-Dunn
U.S. infections surpass 4 million
The U.S. has now reported more than 4 million known cases of coronavirus and at least 143,846 people have died from Covid-19 as infections continue to surge in the South and West, according to data from Johns Hopkins University.
California has reported the most cases in the U.S. at more than 421,000, followed by New York at more than 409,000, Florida at more than 389,000, and Texas at more than 363,000. These U.S. states have reported more cases than several major nations with larger populations such as Italy, France, Spain and the United Kingdom among others.
The Centers for Disease Control and Prevention confirmed the first case of human-to-human transmission in the U.S. back in January. —Spencer Kimball
Infectious disease experts warn against reopening schools
Members of the Infectious Disease Society of America, a leading group of infectious disease experts, warned against reopening schools in Florida, Texas and other states where coronavirus cases are surging, saying older children are just as likely to spread Covid-19 as adults.
"The simple answer is no," Dr. Tina Tan, a professor of pediatrics at Northwestern University, said when asked whether she would suggest reopening schools in states like Florida, Texas, California and Arizona in the near future. "When you have such surges of disease in the community, you're basically asking for trouble if you open schools because you're bringing in individuals from all across the community that potentially may be exposed to it," Tan said on a conference call.
Dr. Wendy Armstrong, a professor of medicine at Emory University School of Medicine and a board member of the group, said a recently published study in South Korea indicated that although kids under the age of 9 didn't transmit the virus as often to their families, teenagers were at least as likely to transmit the disease as adults. "In order for schools to open safely, communities' spread must be controlled and must not be explosive," she added. — Noah Higgins-Dunn
HHS expects U.S. death rate to fall, contradicting CDC
The rate of deaths from the coronavirus in the U.S. should begin to fall in the "next couple of weeks," according to the Department of Health and Human Services.
The seven-day rolling average of coronavirus infections is beginning to fall, and U.S. health officials predict hospitalizations will go down next week and mortality rates will follow in about two weeks, Brett Giroir, an assistant secretary for health at HHS, said during a press briefing with reporters.
Giroir's prediction differs from forecasts at the Centers for Disease Control and Prevention. National and state-level forecasts suggest that the number of new deaths in the U.S. over the next four weeks will likely exceed the number reported over the previous four weeks, according to the CDC. The data also shows rising death tolls in 25 states and one territory over the same period of time. —Berkeley Lovelace Jr.
New York Gov. Andrew Cuomo says coronavirus infections among young people are on the rise
Infection rates in every age group in New York has either remained flat or declined, except for people between 21 and 30 years old, according to Cuomo.
"It has ticked up 4 points, that is a significant increase in a short period of time," he said during a news briefing. He added that the increase has been driven by in part by groups of young people socializing while not wearing face masks or social distancing.
New York is starting an advertising campaign targeted toward young people in the state to communicate and educate people about the virus.
"To young people, this is not the time to fight for your right to party. I respect your right to party, I fully respect it. I would enshrine it in the state law if you want to know. You have the right to party, but let's be smart about it," Cuomo said. —Noah Higgins-Dunn, Jasmine Kim
WHO slams Mike Pompeo's ‘unacceptable’ remarks
Top officials of the World Health Organization slammed allegations made by U.S. Secretary of State Mike Pompeo that China had co-opted the WHO as "unacceptable."
On Tuesday, Pompeo said in London that the entire world "needs to work together to ensure that every country, including China, behaves in the international system in ways that are appropriate, consistent with the international order."
He added: "You can't go make claims for maritime regions that you have no lawful claim to. You can't threaten countries and bully them in the Himalayas. You can't engage in cover-ups and co-opt international institutions like the World Health Organization."
Tedros defended the organization and downplayed Pompeo's remarks as untrue and distracting.
"The comments are untrue and unacceptable and without any foundation for that matter," Tedros said at a news briefing from the United Nations agency's Gevena headquarters on Thursday. "WHO will not be distracted by these comments and we don't want the international community also to be distracted." —Will Feuer
Unemployment claims data suggests July jobs report could be negative
Economists said the persistently high level of unemployment claims are a warning that the government's July employment report could show little progress or even a decline in payrolls.
After 22 million job losses in March and April, the economy added 7.5 million payrolls in May and June. So far, July is looking flat to negative, several economists said.
Thursday's weekly jobless claims filings were higher for the first time after 15 weeks of declines. The claims totaled 1.416 million in the week ended July 18. All told, 31.8 million people were collecting benefits from all state and federal programs, according to the latest data, available as of the July 4 week.
The rise in claims and the high number of individuals continuing to collect benefits, comes as the number of coronavirus cases grows at a rapid rate across the South and West. States have rolled back openings and curtailed some activities to stop the spread. Florida is one of the states seeing the most new virus cases, and it topped the list of states with the most new filings last week, with 65,890 new claims for benefits. --Patti Domm
Coronavirus threatens auto industry recovery
High absenteeism rates of U.S. auto workers due to the coronavirus pandemic is threatening the industry's recovery following a roughly two-month shutdown this spring.
The Detroit automakers are hiring temp workers and restructuring shifts at their plants, while Tesla attempts to reassure employees that coming to work at its assembly plant in California is safe.
General Motors told CNBC it has avoided cutting a shift at its Wentzville truck plant in Missouri, where the state hit a record 1,092 new cases Tuesday, by reworking staffing schedules.
Fiat Chrysler and Ford Motor said they are hiring temporary workers above their normal levels for this time of year due to Covid-19, including workers self-quarantining due to infection or those who may have been exposed to the virus. —Michael Wayland
Quest says small labs ripe for acquisition
Many labs and much of the health care industry, in general, is struggling as the coronavirus largely displaces other money-making procedures, treatments and diagnostic tests that normally drive the industry. The disruption is setting up an environment that's ripe for deals, Rusckowski said.
"At the same time, we all know that smaller regional laboratories have had their own challenges, which also produced more opportunities for talking acquisitions," he said on a conference call discussing the company's second-quarter earnings. "If anything, the pandemic could be an essential catalyst to help drive industry consolidation." —Will Feuer
WHO warns there’s no going back to ‘old normal’
The World Health Organization warned there is no going back to the "old normal" as the coronavirus pandemic accelerates in the United States and poorer, developing countries.
Half of all Covid-19 cases reported so far are from the United States, Brazil and India, WHO Director-General Tedros Adhanom Ghebreyesus said during a press conference from the agency's Geneva headquarters. "It's completely understandable that people want to get on with their lives, but we will not be going back to the old normal."
Read the report from CNBC's Berkeley Lovelace Jr. and Will Feuer for more news from the WHO's press conference. —Melodie Warner
Coronavirus cases could reach 150,000 a day this fall, Morgan Stanley analyst says
The U.S. could reach 150,000 daily new coronavirus cases this fall due to more people in enclosed spaces, according to Morgan Stanley's biotechnology analyst Matthew Harrison. "Our base case assumes a near-term plateau followed by increased spread in the fall," Harrison said in a note Thursday. "[About] 150,000 daily new cases are possible without better control of the virus."
Harrison previously projected a "second wave" in the autumn with daily new cases totaling between 40,000 and 50,000 nationwide. However, the recent emergence of hot spots — Arizona, Texas, Florida and California — has reflected a high rate of infection, which led the analyst to adjust to a more pessimistic view on the pandemic. Harrison has a wide following on Wall Street for his success in predicting the course of the pandemic and government responses.
The virus has infected an average of 66,805 people per day in the U.S. over the past seven days, up more than 7% compared with a week ago, according to data compiled by Johns Hopkins University. —Yun Li
American and Southwest airlines say all passengers must wear masks
American Airlines and Southwest Airlines announced that anyone over the age of two must wear a mask while flying. Passengers who refuse to wear masks based on medical conditions will no longer be able to fly.
The two airlines said masks can only be removed to eat or drink, CNBC's Monica Buchanan Pitrelli reports. The new policy applies from the time customers enter the airport until they exit another airport.
American's new policy begins on July 29.
Earlier this week, Delta Air Lines said passengers who want to fly without a mask due to a medical condition must complete a "Clearance-To-Fly" virtual consultation with a medical professional before flying. United Airlines said face coverings are required on flights and in the airports where United operates globally.
American's policy states those who do not wear masks "may be barred from future travel for the duration of this face-covering requirement." –Suzanne Blake
Pandemic is about to shift a lot more jobs outside America's highest-priced cities
A new study by global freelance platform Upwork, released July 23, claims the massive shift to remote work caused by the pandemic is already spreading opportunities to the 72% of independent freelance professionals who live outside the 15 most expensive states in the U.S.
Based on data from the Bureau of Labor Statistics, housing prices and Upwork's own global freelance platform, the report compared the top 15 most expensive metro areas to the rest of the U.S. to highlight the potential of remote work to solve this growing wage and opportunity gap in the U.S.
Among Upwork's key findings is that remote work is already spreading economic opportunity across the country. Despite having only 19% of the U.S. population, businesses are highly concentrated in these top 15 most expensive places. Yet with remote work, 49% of business spend is going to lower-cost areas.
This is a welcome trend, as the geographic wage gap has continued to widen over the last 50 years. Upwork found that, on average in the top 15, skilled occupations were paid 40% higher there than in other areas of the U.S.
AT&T takes hit in monthly subscribers from Covid-19
Due to delayed movie releases and advertising struggles caused by the coronavirus crisis in the second quarter, AT&T said it saw a $2 billion revenue drop and lost monthly phone subscribers, Reuters reported.
While AT&T added 36 million subscribers to its new streaming service HBO Max and HBO, the company lost 151,000 postpaid mobile phone subscribers in the quarter, the news service said. Analysts had expected AT&T to gain 6,800 subscribers, according to FactSet.
AT&T's WarnerMedia segment had to postpone the release of Christopher Nolan's "Tenet" several times as movie theaters were closed. Revenue in that unit fell 22.7% to $6.8 billion, Reuters reported.
The news service said AT&T's total quarterly revenue fell around 9% to $41 billion, while Refinitiv analysts had expected $41.1 billion. –Suzanne Blake
AMC will wait until August to reopen its movie theaters in the U.S.
AMC is once again moving its U.S. reopening date due to the ever-shifting Hollywood movie calendar.
After "Tenet" was delayed for a third time earlier this week, AMC has decided to move its July reopening to mid-August. Disney's "Mulan" remains on the calendar for Aug. 21, but could also be delayed if coronavirus cases in the U.S. continue to climb.
AT&T CEO John Stankey assured movie theater owners that "Tenet" would not skip its theatrical release, but has yet to confirm a new release date for the highly anticipated Christopher Nolan spy-thriller.
Earlier this month, AMC reached a debt agreement that would help it remain solvent through 2021. The chain previously said that the pandemic could push it to bankruptcy protection, as its theaters in the U.S. have remained shuttered since mid-March. —Sarah Whitten
Hot spots spread across the South
Dow cuts 6% of workforce in effort to regain footing during pandemic
The chemical company posted a smaller-than-expected loss in the second quarter due to cost control, but said it expects to see a "gradual and uneven" recovery in demand and prices following dips seen this year. Dow is looking to cut another $150 million from its operating expenses during the year.
Dow posted a loss of 26 cents per share compared with the 30 cents estimated by analysts in the second quarter. The chemical company is based out of Midland, Michigan, and employed approximately 36,500 as of the last regulatory filling. –Alex Harring
Initial jobless claims tick higher after weeks of improvement
Initial jobless claims ticked higher last week to 1.416 million, according to data from the Labor Department, after weeks of improving numbers. Continuing claims, representing filers who've received unemployment benefits for at least two weeks, continued its encouraging trend, falling slightly to 16.2 million.
The U.S. economy saw an unprecedented spike in unemployment claims as coronavirus spurred widespread closures, layoffs and furloughs. The jobs market had shown significant improvement from peak unemployment in recent weeks. But businesses have faced more challenges as surging infections cause local leaders to rethink reopening plans. —Sara Salinas
Hamptons home prices up as wealthy New Yorkers flee city amid pandemic
Home prices in the Hamptons hit a record in the second quarter, according to a report from Miller Samuel and Douglas Elliman, as wealthy New Yorkers fled the city amid Covid-19 concerns.
CNBC's Robert Frank reports the median price of a single-family Hamptons home came in at $1.1 million, a 25% increase over last year's second quarter. The average sale price hit $2.1 million.
The increase is largely attributed to the impact of the coronavirus on New York City, as many wealthy families were looking for more space as the pandemic kept them inside for longer periods of time.
Overall sales in the Hamptons fell by 15% compared to last year, likely due to the fact that brokers were banned from showing homes for much of quarter. But the Hamptons housing market was less impacted than Manhattan, which saw a 54% decrease in second-quarter sales. –Alex Harring
U.K.'s Johnson calls for vigilance through winter
U.K. Prime Minister Boris Johnson called Britons to remain vigilant against the coronavirus as autumn and winter approach, Reuters reported.
"It is not the end of the story and we've got to be very, very vigilant as we go forward into the colder months," Johnson said, according to Reuters.
Just a handful of countries have reported more confirmed coronavirus cases than the U.K. The virus has infected more than 297,900 people in the country and killed at least 45,500 people, according to data compiled by Johns Hopkins University. —Will Feuer
U.S. nears 4 million cases, tops 70,000 in a day again
The U.S. reported 71,695 new cases of the coronavirus on Wednesday, again topping 70,000 in a single day after four days of slightly lower numbers. The country's total case count is rapidly approaching 4 million, according to data compiled by Johns Hopkins University.
Wednesday's spike sent the seven-day average to a fresh all-time high of 67,429 new cases per day over the past seven days, up more than 6% compared with last week, according to a CNBC analysis of data from Hopkins. The seven-day average dropped slightly for the first time in weeks on Tuesday, according to CNBC's analysis.
Daily new cases are rising, on average, by at least 5% in 30 states and the District of Columbia as of Wednesday, according to CNBC's analysis. The country has now reported more than 3.9 million total cases, according to data compiled by Hopkins. —Will Feuer
Read CNBC's previous coronavirus live coverage here: California cases surpass New York, Cuomo urges federal mask mandate