CHINA CURBS TRAVEL TO HONG KONG AS PROJECTIONS SHOW 300,000 MIGHT ALREADY BE INFECTED

China Curbs Travel To Hong Kong As Projections Show 300,000 Might Already Be Infected

Top health officials share grim statistics

Zero Hedge – JANUARY 28, 2020

On Tuesday morning, China’s top health officials shared some grim statistics essentially confirming that the novel coronavirus believed to have emerged from a shady food market in Wuhan is on track to confirm some of the more dire projections shared by epidemiologists.

As we reported late yesterday, the death toll in China has soared past 100 while the number of confirmed cases doubled overnight. Health officials around the world have confirmed more than 4,500 cases, more than triple the number from Friday. All but a few of the deaths recorded so far have been in Wuhan or the surrounding Hubei province, per the SCMP.

Panic has swept across the region as border closures appear to be the overarching theme of Tuesday’s sessions. Even North Korea, which relies on China for 90% of its foreign trade, has closed the border with its patron. More than 50 million remain on lockdown in Hubei, and transit restrictions have been imposed by cities and regions around the country.

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An ‘extension’ of the Lunar New Year holiday is threatening GDP growth, as economists try to size up the knock-on potential impact on the global economy. The virus has now spread across China and another 17 countries/autonomous territories globally, according to BBG.

But the most important announcement made overnight – at least as far as global markets are concerned – was Hong Kong Chief Executive Carrie Lam’s decision to suspend high-speed rail and ferry service, while halving the number of flights between HK and the mainland.

This news helped send US stock futures higher in early trade, after health experts yesterday urged Lam to use ‘draconian’ measures to curb the spread, for fear of a repeat of the SARS epidemic, which killed some 300 people, according to the BBC.

“The flow of people between the two places needs to be drastically reduced” amid the outbreak, Ms Lam told the South China Morning Post.

China, meanwhile, said it would stop individuals from traveling to Hong Kong to try and curb the virus.

Jiao Yahui, deputy head of the NHC’s medical administration bureau, said during a press conference Tuesday that shortages of medical supplies in Wuhan were still a serious problem.

CDC has issued new travel recommendations urging people to avoid all non-essential trips. But officials remained reluctant to declare a global emergency, instead insisting that this is merely an emergency “in China”. Of course, after yesterday’s brutal pullback, that’s to be expected.

The big piece of evidence that the WHO is purportedly looking for is human-to-human transmission outside China. Zhong Nanshan, a leading expert on SARS and other communicable diseases in China, confirmed human-to-human transmission in at least one case in Wuhan and two cases in Guangdong Province.

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Meanwhile, as we noted yesterday, one case of possible human-to-human transmission is being investigated in Canada, while Vietnam and Japan have now each confirmed one cases.

Japan revealed on Tuesday that a bus driver in his 60s, who recently carried passengers from Wuhan, has been found to have the virus.

During a meeting in Beijing, President Xi told World Health Organization Director-General Tedros Adhanom Ghebreyesus that the safety of the people is his government’s first priority, and that he recognizes the situation is “very serious.”

“This was supposed to be a time for rest, but because of the pneumonia outbreak caused by the novel coronavirus, the Chinese people right now are faced with a very serious battle,” Xi said. “This is something we take very seriously because in our view nothing matters more than people’s safety and health. That is why I myself have been personally deploying, planning, and guiding all the efforts related to containment and mitigation of the outbreak.”

That’s ironic, considering Beijing’s sluggish response after the first cases were discovered in December. After all, Wuhan Mayor Zhou Xianwang on Tuesday spoke out against the deluge of criticism he has faced to accuse Beijing of tying his hands. This comes after President Xi and the party tried to scapegoat him and other local party officials for the crisis.

This was supposed to be a time for rest, but because of the pneumonia outbreak caused by the novel coronavirus, the Chinese people right now are faced with a very serious battle,” Chinese President Xi Jinping tells in Beijing.

Speaking at a press briefing in Beijing on Tuesday, Jiao Yahui, deputy head of the NHC’s medical administration bureau, said shortage of medical supplies was a major constraint in China’s efforts to contain the outbreak and treat infected people.

Tens of thousands of patients are under observation in China after displaying one or more symptoms of the virus. In the US, roughly 100 people are in isolation. But former FDA Commissioner Scott Gottlieb told CNBC that China is obscuring the true number of cases – a suspicion that’s widely held among American infectous-disease experts.

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According to some projections, there might be up to 300,000 cases in China, and there are likely dozens of people who have died of pneumonia who in reality died from nCoV – but those deaths will never be recorded. Although China is “behaving better” than it did during the SARS outbreak, they’re still concealing information from the international community.

“They’re still not behaving well. They’re concealing information, including the spread to health care workers, which we didn’t know until last week” Gottlieb said.

China is already in a “full-blown epidemic.” The US will likely face some limited outbreaks, but Gottlieb said we have the tools to suppress the virus and prevent the same thing from happening in the US.

Jiao said China was sending about 6,000 medical personnel to Hubei from around the country – with more than 4,000 already there and 1,800 more due to arrive by Tuesday evening – to work in Wuhan and seven other cities in the province.

In Wuhan, more than 10,000 hospital beds have been made available for patients, he said, while another 100,000 are being prepared.

In Beijing, CNBC’s Eunice Yoon reported that the local government is strongly encouraging the wearing of facemasks in public.

Police guarding Beijing’s public transit are wearing full hazmat suits, and anybody hoping to board a train must be wearing a mask, and must submit to a temperature check via infrared thermometer. If an individual is found to have a fever, they’re sent to a hospital to be quarantined.

As Beijing tries to telegraph to the world that it has the situation under control, health experts have raised new questions about the government’s response. One infectious disease specialist told the NYT that they were skeptical about the Wuhan quarantine’s ability contain the virus (unsurprising considering that 5 million left the city before the lockdown began).

Beijing and Guangzhou, a port city northwest of Hong Kong, have broken ground on new hospitals, mimicking the speedy construction of not one but two new hospitals in Wuhan to treat patients infected with the virus.

Beijing is also reopening a hospital used to fight the SARS outbreak in 2003, while 6,000 medical staff have been sent to Hubei.

“At this stage of the outbreak, the things that make the most difference are finding people, diagnosing people, and getting them isolated,” said Dr. Tom Inglesby, an infectious diseases specialist and director of the Johns Hopkins Center for Health Security.

“If you isolate the city, then my question and my concern is that you’re making it harder in a number of ways to do those things you need to do,” including ferrying critical supplies and ensuring that infected victims receive adequate treatment.

 

Oil prices plummet over fears of coronavirus outbreak spreading

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The price of crude continued to plunge on Monday, dragged down by fears of the deadly coronavirus outbreak, raising concerns about the global economic growth.

International benchmark Brent crude was down 2.95 percent to $58.90 a barrel, after hitting $58.68 earlier, the lowest level since late October. US West Texas Intermediate crude nosedived more than three percent to $55.52, after falling to a four-month low of $52.1 a barrel.

The coronavirus could cut into demand by around 260,000 bpd and reduce oil prices by about $3 per barrel, according to a report from Goldman Sachs.

Why the coronavirus is a real threat to China’s economy

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Saudi Arabia’s minister of energy Prince Abdulaziz bin Salman said OPEC will be closely monitoring developments in global oil markets amid “gloomy expectations” of the outbreak’s impact on the Chinese and global economy.

“Such extreme pessimism occurred back in 2003 during the Sars outbreak, though it did not cause a significant reduction in oil demand,” he said.

The coronavirus, was identified in December and was linked primarily to stallholders who worked at Wuhan’s Hunan Seafood Market in China, has already killed 80 people and infected nearly 2,800 worldwide. The virus has spread to South Korea, Japan, Thailand, Vietnam, and the United States, among other places. On Friday, the CDC confirmed the second case in the US.

Chinese coronavirus spreads with no visible symptoms as death toll grows to 81, over 2,800 infected worldwide

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Oil prices are also down due to flight disruptions during one of China’s busiest travel seasons — the Lunar New Year holiday. Chinese authorites have put on lockdown cities in Hubei province, including Wuhan, believed to be the epicenter of the outbreak, affecting millions of travelers.

China has announced an extension of its Lunar New Year holiday through February 2 and suspended sales of package tours to help battle the spread of the disease.

Chinese health chiefs warn coronavirus is growing ‘stronger’, MUTATION closely monitored by scientists

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The mysterious coronavirus is now spreading more rapidly and little is still known about it, China‘s senior health officials said, as Beijing grapples with shortages of hazmat suits and protective masks.

“The virus’ transmission ability has become stronger,” National Health Commission Minister Ma Xiaowei said at a press briefing on Sunday.

Ma said that the previously-unknown coronavirus, which has already killed 56 people in China, is spreading faster, while the outbreak is entering a “more serious and complicated phase.”

The official noted that the government’s knowledge of the new virus remains limited and they remain puzzled about the risks posed by its mutations. Beijing will dispatch additional teams of medics to assist patients and study the virus, he added.

Chinese Center for Disease Control and Prevention head Fu Gao said that there were no signs of clear mutation of the virus so far, but further surveillance is needed.

Local media has reported about the shortage of basic protective gear, like goggles and masks, in Wuhan, the capital of the central Hubei Province, which has been hit hardest by the outbreak. Vice Minister of Industry and Information Technology Wang Jiangping said that Hubei needs about 100,000 protective medical suits per day but the factories across the country are making only 30,000 of them daily.

Chinese virus death toll rises to 56, with nearly 2,000 infected nationwide & more cases confirmed abroad

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The authorities have ordered an increase in production and have diverted millions of masks, along with scores of hazmat suits, gloves and goggles, to Wuhan. The local office of the Red Cross has set up a 24-hour hotline for accepting donations of equipment. E-commerce giant Alibaba, laptop-maker Lenovo, and the world’s largest gaming company Tencent have all pledged to donate large sums of money to purchase medical supplies.

Wuhan and nine other major cities in Hubei were partially quarantined in an effort to contain the outbreak. Ma said that the week-long Lunar New Year vacation provides the best window for the “isolation and disinfection” of the area.

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