• Vietnam recorded its first coronavirus death as the country battles a new outbreak of the virus, which emerged in the city of Danang.

• Spain reported a second day of 1,000-plus coronavirus infections, the highest since the nation lifted its lockdown in June.

More than 17.2 million people around the world have been diagnosed with the new coronavirus. More than 10 million patients have recovered, and at least 673,000 have died, according to data from Johns Hopkins University.

Here are the latest updates:

11:05 GMT – Scotland warns against travel to COVID-hit areas of northern England

Scotland’s government advised against non-essential travel to Greater Manchester and other parts of northern England which faced new lockdown restrictions due to an upsurge in cases, and told people from those areas to stay away.

“I strongly advise anyone planning to travel to areas affected in the north of England, or anyone planning to travel to Scotland from those same areas, to cancel their plans,” Scotland’s First Minister Nicola Sturgeon said.

10:12 GMT – COVID infections on the rise in England, survey shows

There has likely been a slight increase in the number of people in England testing positive for coronavirus in recent weeks, Britain’s Office for National Statistics said.

The weekly infection survey said an estimated 1 in 1,500 individuals had COVID-19 in the most recent week from July 20-26, compared to 1 in 2,000 the previous week. 

09:32 GMT – There is no ‘zero risk’ in easing travel restrictions, WHO says

There is no “zero risk” strategy for countries easing international travel restrictions during the pandemic, and essential travel for emergencies should remain the priority, the World Health Organization (WHO) said.

In a long-awaited update to its guidance on travel, the United Nations global health agency said cross-border trips for emergencies, humanitarian work, the transfer of essential personnel and repatriation would constitute essential travel.

“There is no ‘zero risk’ when considering the potential importation or exportation of cases in the context of international travel,” it said in the updated guidance posted on its website.

A surge of new infections in many parts of the world has prompted some countries to reintroduce some travel restrictions, including testing and quarantining incoming passengers.

A passenger, wearing a protective mask, and her baby pass on a passenger checkpoint at the almost empty Benito Juarez international airport, as the spread of the coronavirus disease (COVID-19) continues in Mexico City, Mexico [File: Edgard Garrido/Reuters]

08:58 GMT – Poland reports record high virus cases for second day

Poland reported its highest number of new daily cases since the pandemic started for the second day in a row, with 657 new cases, according to the Health Ministry.

The ministry reported seven new deaths, with a total of 45,688 reported coronavirus cases and 1,716 deaths.

Of the new cases, 227 were in the Silesia region, which has been grappling with an outbreak amongst miners. 

08:55 GMT – Philippines records 4,063 new cases

The Philippine health ministry confirmed 4,063 infections, reporting the highest daily case increase in Southeast Asia for a second straight day.

In a bulletin, the ministry said total confirmed infections have risen to 93,354, while deaths increased by 40 to 2,023.

08:53 GMT – Germany puts three virus-hit Spanish regions on high-risk list

Germany’s Robert Koch Institute (RKI) for infectious diseases put three Spanish regions, including Catalonia, home to Barcelona, on its list of countries designated high-risk for the coronavirus.

The three regions are Catalonia, Aragon and Navarre in northern Spain, RKI said.

The summer holiday season has prompted fears that tourists returning from destinations experiencing a surge in new cases like Spain could sow the seeds of a second wave.

On Monday, Germany said it would make coronavirus tests mandatory at airports for all returning holidaymakers from high-risk areas. 

08:52 GMT – Hong Kong reports 121 new cases as local transmissions stay high

Hong Kong reported 121 new cases, including 118 that were locally transmitted, as authorities said the global financial hub faced a critical period to battle a third wave of the virus which has seen a resurgence this month.

The Chinese territory reported a daily record of 149 new cases on Thursday. Since late January, over 3,100 people have been infected in Hong Kong, 27 of whom have died. 

08:27 GMT – Indonesia reports 2,040 new cases, 73 deaths 

Indonesia reported 2,040 new infections and 73 additional deaths, according to data published on the country’s COVID-19 task force website.

This brought Indonesia’s total number of confirmed infections to 108,376 and deaths to 5,131. 

People attend Eid al-Adha prayer by implementing social distancing and health protocol during coronavirus outbreak (COVID-19) at Al Akbar Mosque in Surabaya, East Java, Indonesia [Suryanto/Anadolu]

08:26 GMT – Italy’s GDP plunges 12.4 percent in second quarter     

Italy’s gross domestic product (GDP) fell by 12.4 percent in the second quarter, Italy’s national statistics bureau Istat said, plunging the country into recession.     

GDP fell by 17.3 percent compared with the year-ago second quarter, Istat said, as the coronavirus lockdown took a dramatic toll on the eurozone’s third-largest economy. 

07:49 GMT – Vietnam records first COVID-19 death after virus re-emerges 

Vietnam confirmed its first coronavirus fatality, state media reported, after the death of an elderly man who had tested positive in Danang, the city where the virus re-emerged in the country last week after 100 days.

Vietnam is battling a new outbreak of the virus following months of successful countermeasures which saw the country keep its coronavirus tally to just a few hundred cases.

The man, 70, died early on Friday, state media said.

Authorities on Friday reported 45 new coronavirus cases, marking the biggest daily jump in the country, bringing the total cases in the country to 509.

Medical specialists in protective suits collect blood samples for a coronavirus (COVID-19) rapid test from people who recently returned from Da Nang City on July 31, 2020 in Hanoi, Vietnam [Linh Pham/Getty Images]

07:43 GMT – Russia’s case tally nears 840,000

Russia reported 5,482 new cases, pushing its national tally to 839,981, the world’s fourth largest caseload.

Officials said 161 people had died in the last 24 hours, bringing the official death toll to 13,963. 

07:12 GMT – France sees record 13.8 percent GDP plunge in second quarter

France’s economy contracted by a record 13.8 percent in the second quarter under the impact of coronavirus lockdowns, the national statistics institute INSEE said.     

The seasonally-adjusted quarter-on-quarter drop in gross domestic product (GDP) was better than forecast but worse than the performance of most of its eurozone peers.     

“GDP’s negative developments in first half of 2020 is linked to the shut-down of ‘non-essential’ activities in the context of the implementation of the lockdown between mid-March and the beginning of May,” INSEE said in a statement.

INSEE also updated the figure for the first quarter to a 5.9 percent contraction, from the 5.3 percent it had previously estimated.     

The second quarter figure means the French economy has been shrinking for three consecutive quarters and continues to be in recession. 

People, wearing protective face masks, walk in a street in Paris as France enforces mask-wearing in enclosed public spaces as part of efforts to curb a resurgence of the coronavirus disease (COVID-19) across the country [Gonzalo Fuentes/Reuters]   

07:03 GMT – Germany reports 870 new cases

Germany reported 870 new cases, according to a tally from the Robert Koch Institute for infectious diseases.

That brought the total number to 208,698 while 9,141 deaths have been recorded. 

06:55 GMT – Fiji records first COVID-19 death      

Fiji announced its first coronavirus death but health officials assured people in the Pacific island nation that it was not the precursor to a major outbreak.

Health Minister Ifereimi Waqainabete said the victim was a 66-year-old man who tested positive after returning from India, where he had undergone surgery for a long-standing heart condition.     

“Sadly, despite the best efforts of our health-care professionals, this gentleman passed away yesterday in the isolation ward at Lautoka hospital due to complications from COVID-19,” Waqainabete told reporters.     

He said the man was one of nine active cases who had been held in quarantine since they were repatriated from India on July 1.

Before then, Fiji had enjoyed a spell of four weeks virus-free, after the 18 cases it had previously recorded all recovered. 

In Africa, fashion designers are injecting style into face masks. pic.twitter.com/kSgJgbky4E

— Al Jazeera English (@AJEnglish) July 31, 2020

06:40 GMT – UK tightens lockdown in northern England

Britain imposed a tougher lockdown in swathes of northern England after a rise in the rate of coronavirus transmission, raising concerns that a second wave of the deadly virus could sow yet more turmoil.

Around 4 million people were ordered not to mix with other households in Greater Manchester, the biggest city in northern England, parts of West Yorkshire and East Lancashire, though they can still go to the pub and to work.

The measures come after Britain reported its highest number of new infections in more than a month.

06:15 GMT – KLM says 1,500 new job cuts will bring total reduction to 20 percent

KLM, the Dutch arm of Air France-KLM, said it would cut 1,500 additional jobs as part of a restructuring in which it needs to cut emissions by 50 percent by 2030 as well as prepare for recovering traffic after the coronavirus outbreak.

Parent company Air France-KLM on Thursday reported a 1.55bn euro ($1.8bn) operating loss for the second quarter, with traffic down 95 percent from a year earlier.

KLM said the new cuts would mean its workforce, 33,000 before the pandemic, would be reduced by 20 percent in all by 2022. It did not rule out further cuts. 

06:04 GMT – India’s cases rise by a daily record of 55,078 

India reported another record surge in daily infections, taking the total to 1.64 million, as the government further eases virus curbs in a bid to resuscitate the economy, while also trying to increase testing.

Infections jumped by 55,078 in the past 24 hours, while the death toll rose by 779 to 35,747, the Ministry of Health and Family Welfare said on its website.

The ministry also said it aimed to raise the country’s capacity to 1 million coronavirus tests per day in the medium term, from a record 600,000 on Friday.

The federal government this week announced the reopening of yoga institutes and gymnasiums, and removed restrictions on the movement of people and goods.

Hello, this is Farah Najjar taking over from my colleague Zaheena Rasheed.

04:51 GMT – Southeast Asia poverty to surge in ‘socio-economic crisis’

Southeast Asia is on the brink of a “socio-economic crisis” caused by the COVID-19 pandemic that could reverse decades of poverty reduction, the United Nations has warned.

“The crisis threatens to destroy the livelihoods of Southeast Asia’s 218 million informal workers,” a UN policy brief released on Thursday said. “Without alternative income, formal social protection systems or savings to buffer these shocks, workers and their families will be pushed into poverty, reversing decades of poverty reduction.”

The region-wide economy was expected to contract by 0.4 per cent in 2020, it said, while remittances from Southeast Asians working abroad were likely to fall by 13 per cent or $10bn.

The paper urged nations to fix “fiscal termites”: budget-sapping problems like tax evasion, transfer pricing and fossil fuel subsidies so they can deliver large stimulus packages to help vulnerable populations and boost their economies.

Current low oil prices provided an ideal opportunity to reverse fossil fuel subsidies, it added.

04:46 GMT – Bali welcomes visitors after four-month lockdown

Indonesia’s resort island of Bali has reopened to domestic tourists after an almost four-month lockdown for the coronavirus pandemic.

Under the easing that took effect on Friday, Indonesians visiting Bali will face stringent rules at hotels, restaurants and beaches. Foreign tourists will be allowed on the island beginning September 11.

04:35 GMT – Philippines extends restrictions

Philippine President Rodrigo Duterte extended quarantine restrictions in the capital Manila, limiting movements of the elderly and children, and the operations of businesses from restaurants to gyms, until mid-August.

“My plea is to endure some more. Many have been infected,” Duterte said in a televised address.

Duterte promised free vaccines if they became available by late this year, prioritising first the poor and then the middle class, police and military personnel. The Philippines will be given precedence by China in vaccine distribution, he said.

People wearing face masks wait to have their coronavirus rapid tests at a stadium in Manila, Philippines [Aaron Favila/AP Photo]

04:03 GMT – Australia’s Victoria flags new steps to control surge in cases

Australia’s Victoria state recorded its second-highest day of new coronavirus infections, as the state’s Premier Daniel Andrews flagged the prospect of more rigorous steps to contain the spread of the disease.

Victoria reported 627 new infections on Friday, down from a record of 723 new infections on Thursday.

“It is clear to all of us that these numbers are still far too high,” Andrews told reporters. “It may well be the case … that we need to take further steps. The data will tell us, the experts will tell us, what and if any next steps need to be.”

03:20 GMT – Hong Kong logs new high of 149 cases

Hong Kong reported a new daily record of coronavirus cases, logging 149 more infections by Thursday end.

Amid the rise in cases, authorities reversed a ban on indoor dining, along restaurants to operate under limited hours and with limited capacity. Businesses such as bars, karaoke bars and amusement parks remain temporarily closed, and public gatherings are restricted to two people.

People have lunch at a mall in Hong Kong after the government banned dine-in services [Tyrone Siu/Reuters]

03:01 GMT – China tightens travel rules for Xinjiang capital

China tightened travel restrictions in Urumqi, the capital of Xinjiang province, requiring people arriving in the city from regions deemed to have high infection risks to undergo a two-week quarantine.

Others arriving from less risky areas must show proof of good health. Locals “in principle” must stay in the city or show proof of health to be allowed to leave.

Since mid-July, the Xinjiang outbreak centred in Urumqi has seen more than 600 cases of illness, including 112 new ones reported on Friday.

2:49 GMT – Brazil first lady tests positive

Brazil’s first lady Michelle Bolsonaro tested positive for the new coronavirus, the government announced on Thursday, five days after her husband Jair Bolsonaro said he had recovered from his COVID-19 infection.

The 38-year-old first lady “is in good health and will follow all established protocols”, the president’s office said.

Brazil’s President Jair Bolsonaro with his wife Michelle Bolsonaro in Brasilia, on March 6, 2020 [File: Adriano Machado/Reuters]

2:42 GMT – China’s factory recovery accelerates in July

China’s factory activity expanded in July for the fifth month in a row and at a faster pace, beating analyst expectations despite disruptions from floods and a resurgence in coronavirus cases around the world.

The official manufacturing Purchasing Manager’s Index (PMI) rose to 51.1 in July from June’s 50.9, official data showed on Friday, marking the highest reading since March.

Analysts had expected it to slow to 50.7. The 50-point mark separates growth from contraction on a monthly basis.

02:14 GMT – More than three million Chileans seek to withdraw pensions

Long lines formed outside Pension Fund Administrators offices in Chile’s capital, Santiago, and the websites of several fund managers collapsed as Chileans sought to take advantage of a new law allowing citizens to tap into retirement savings amid the coronavirus pandemic.

The emergency measure, which came into effect on Thursday, allows those with savings to withdraw up to 10 percent of their pensions.

In a statement, Chile’s superintendent of pensions said 3,024,347 people had asked to withdraw their share by 5pm local time.

Opinion polls indicate nearly nine out of every 10 Chileans planned to tap their funds, with most saying they would use the money to pay for basic goods and services.

People wear face masks while queueing to enter a branch of the pension funds office to start the procedure to withdraw up to 10 percent of their deposits in Santiago, on July 30, 2020 [Martin Bernetti/AFP]

01:53 GMT – US epicentre of pandemic shifts towards Midwest

Coronavirus infections appear to be picking up in the Midwestern United States, the coordinator of the White House Coronavirus Task Force said, as the state of Ohio reported a record day of cases and Wisconsin’s governor mandated the use of masks.

The coronavirus outbreak is “moving up” into Ohio, Kentucky, Tennessee, Missouri, Kansas and Nebraska from the south “because of vacations and other reasons of travel”, Deborah Birx told Fox News.

01:19 GMT – Iran prison officials’ pleas for virus help ‘ignored’  

Iran’s government ignored repeated requests from senior prison officials for help in containing coronavirus in the country’s overcrowded jails, according to Amnesty International.

The rights group said it reviewed copies of four letters to the health ministry signed by officials at Iran’s Prisons Organization, “raising the alarm over serious shortages of protective equipment, disinfectant products, and essential medical devices”.

The ministry “failed to respond, and Iran’s prisons remain catastrophically unequipped for outbreaks”, Amnesty said. 

Leaked official documents obtained by Amnesty International reveal the Iranian government ignored repeated pleas by senior officials responsible for managing Iran’s prisons for additional resources to control #COVID19 spread & treat infected prisoners. https://t.co/7GF6ajrfT7

— Amnesty Iran (@AmnestyIran) July 30, 2020

00:50 GMT – Vietnam reports 45 new cases

Vietnam’s health ministry reported 45 new coronavirus infections linked to a recent outbreak in the central city of Da Nang, marking the highest daily increase since the first cases emerged in the country in late January.

The new patients, with ages ranging from 27 to 87, are linked to four hospitals and a hotel in Da Nang. Total infections since the virus resurfaced have reached 93, the ministry said in a statement.

Vietnam has registered 509 cases of the virus in total, with no deaths. The country had recorded 100 days without a locally transmitted case before the re-emergence of the virus.

00:42 GMT – Brazil’s Bolsonaro says he has ‘mould’ in lungs

Brazilian President Jair Bolsonaro said he was taking antibiotics for an infection that left him feeling weak, chuckling in an online video about “mould” in his lungs, having spent weeks in isolation after catching the new coronavirus.

“I just did a blood test. I was feeling kind of weak yesterday. They found a bit of infection also. Now I’m on antibiotics,” Bolsonaro said in a livestream video, without elaborating on the infection.

“After 20 days indoors, I have other problems. I have mould in my lungs,” he said, referring to nearly three weeks he spent at the official presidential residence.

He tested positive for the coronavirus on July 7 and then negative last Saturday.

00:05 GMT – Botswana reinstates lockdown in capital

Botswana’s capital city Gaborone has returned to a two-week lockdown to stem its latest surge in coronavirus infections.

Under new rules for the capital and surrounding areas, only essential workers would be able to leave home for work, with others only able to leave the house to buy groceries. All gatherings will be banned and hotels, restaurants, gyms and schools will close.

“During the course of the week, the disease has taken an unprecedented turn, which now required we place the greater Gaborone region under lockdown to enable our containment measures to take hold,” Kereng Masupu, coordinator of the COVID-19 task force team, said in a televised briefing.

Hello and welcome to Al Jazeera’s continuing coverage of the coronavirus pandemic. I’m Zaheena Rasheed in Male, Maldives. 

You can find all the key developments from yesterday, July 30, here.

When it comes to holding a stock for the next 50 years, I look for a company with a strong brand — a favorite that’s an important part of consumers’ lives. The company may be doing well today. Or, the company may have struggled recently after many years of success. In that case, it might be ready for a rebound after the current coronavirus health crisis subsides.

Here are three popular consumer companies — and ones that are likely to be around and healthy a half century from now.

Image source: Disney.

Walt Disney

Walt Disney (NYSE:DIS) is having a rough time these days. Its parks, part of its biggest revenue-driving business, were closed for months due to the coronavirus outbreak. Now, with most reopened, attendance is below usual levels due to social distancing measures. At the same time, Disney faces the costs of running the parks and implementing new safety measures such as cleaning processes. And the media giant has postponed big-screen debuts like the live-action film Mulan as the health crisis continues in the U.S.

In spite of this grim near-term situation, the long-term picture for Disney still has plenty of sparkle. The Magic Kingdom in Florida is the world’s most-visited theme park, with Disneyland in California a close second. Some may prefer to postpone Disney trips amid the current pandemic. But once the crisis abates, it’s likely consumers will return to much-loved activities they were forced to put on hold — such as visiting Disney.

In the meantime, Disney’s new streaming service, Disney+, is gaining ground. The company said it had about 54.5 million subscribers as of May 4. This puts growth way ahead of schedule. Disney, which predicted Disney+ profitability in 2024, initially set a goal for 60 million to 90 million subscribers by that time.

Disney’s stock is down 20% this year through Thursday’s close. It may not really gain momentum anytime soon. But an investment at today’s prices has potential to pay off in the long term.

McDonald’s

McDonald’s (NYSE:MCD) is another brand that’s strong enough to weather the coronavirus storm. The fast food giant once again came in No. 1 in the Restaurant Business and Technomic report on the top 500 highest-grossing restaurant chains last year. Though McDonald’s strength in drive-thru helped compensate for recent distancing measures, the coronavirus outbreak still weighed on business. In the second quarter, global comparable sales slid 23.9%. That’s compared with a 6.5% gain in the year earlier period. But the good news is, as restaurants reopened, sales improved from month to month. Comparable sales fell 39% in April but by June were only down 12.3%.

While we don’t know the duration of the current health crisis, it is likely a temporary situation. So, let’s look to pre-outbreak numbers as a guide to McDonald’s future prospects. Comparable sales in the two months ending Feb. 29 gained 7.2% from the prior year. And in 2019, full-year global comparable sales rose 5.9% for the biggest gain in more than 10 years. McDonald’s also is a good buy for investors seeking dividends. The restaurant chain has lifted its dividend every year in the 43 years it’s been paying a dividend. The company last year reached its goal of paying out $25 billion to shareholders in the three-year period ending 2019.

McDonald’s shares have rebounded more than 40% since their market crash lows, erasing losses for the year. Even so, the stock is a bargain for the long-term investor.

Nike

Nike (NYSE:NKE) shares have rebounded 54% since the market crash, paring this year’s decline to only 4.4%. Nike temporarily closed most of its shops in key areas like China and the U.S. during the earlier stages of the coronavirus outbreak, and sales slid 38% in the fiscal fourth quarter. Still, online sales boosted investor optimism. The company reported a 75% increase in digital sales in Q4.

Digital sales growth may not continue at the same pace with most Nike stores now reopened. But it is likely that gains in digital sales will remain significant. Here’s why: Nike has been ramping up its digital platform since 2017. That’s when it launched an effort to sell directly to consumers through its website and stores in a seamless manner. That’s already started to bear fruit. In the quarter prior to the health crisis, the company posted a 38% increase in digital revenue.

Now, backed by recent e-commerce momentum, Nike is reinforcing its initiative with a new plan called “Consumer Direct Acceleration.” Part of that includes connecting data, inventory, and membership to offer consumers swift access to products.

Brand strength also is driving revenue at Nike. The company’s Jordan brand is a good example of Nike’s staying power. The Jordan brand posted its first $1 billion quarter late last year — 17 years after basketball legend Michael Jordan retired.

It’s too soon to predict what will happen in 50 years. But so far, Nike has shown its strength and ability to adapt to a changing market. Those qualities make this consumer discretionary stock a great long-term buy.

Reuters

• Eurozone GDP fell by 12.1% in the second quarter, its biggest decline in history.
• This is significantly higher than the Eurozone’s Q1’s GDP contraction of 3.6%
• Spain was the worst hit country, suffering an 18.5% decline compared to the previous quarter. 
• The European Union clinched a historic deal last week on an $860 billion recovery fund aimed at the reconstruction of the 27-member bloc.
• Visit Business Insider’s homepage for more stories.

Eurozone GDP fell by 12.1% in the second quarter of the year, its biggest single quarter drop in history as the coronavirus’ true impact on the continent’s economy emerges.

GDP fell by 12.1% in the euro area and 11.9% in the wider EU in the second quarter of the year, data by Eurostat showed Friday. 

This is significantly higher than Q1 contraction figures, where GDP fell by 3.6% in the euro area and by 3.2% in the EU.

Read more: Here are the 8 ‘long-lasting implications’ of the pandemic hedge-fund billionaire Seth Klarman lays out to investors in a new letter 

GDP levels were also 15% lower in the euro area compared to Q2 2019, and 14.4% lower in the EU. 

Countries that were most hard hit were Spain, whic hsuffered an 18.5% decline in Q2 compared to the previous quarter, and Portugal which contracted by 14.1%. 

Lithuania recorded the lowest decline of 5.1% compared to the previous quarter. 

Read more: Kewsong Lee just took full control of Carlyle. 20 insiders reveal how he’s already put his mark on the $221 billion private-equity giant – and what it means for the future of the firm.

Spain was one of the countries to be first be severely hit by the coronavirus pandemic in Europe, and was one of the first economies to be placed under a lockdown. Spain had a more stringent lockdown compared to other European counterparts, meaning even lower economic activity.

Commenting on the latest figures, las Akincilar, heads of trading at the online trading platform, INFINOX, said: “The fallout from the virus now poses a major challenge not just to the healthcare systems and the economies of the EU member states – it’s also a threat to the bloc’s integrity.”

“Against all the odds, European leaders agreed a colossal €750 billion rescue fund at a marathon summit this month. That deal gave Eurowatchers cause to hope, but with unemployment figures rocketing and growth stuck firmly in reverse, the single currency is coming under sustained pressure,” he added. 

Leaders of the European Union reached a historic deal last week on an $860 billion recovery fund aimed at the reconstruction of the 27-member bloc.

The euro to dollar exchange didn’t react much to the news and is trading at 1.18 euros per dollar. 

By Deena Beasley and Michael Erman

(Reuters) – Gilead Sciences Inc on Thursday posted worse-than-expected quarterly results, but raised its 2020 sales forecast to include revenue from its antiviral drug remdesivir, one of the only treatments shown to help COVID-19 patients.

Gilead said it expects total 2020 sales of $23 billion to $25 billion, up from its previous range of $21.8 billion to $22.2 billion.

“We think this implies up to $1 billion to $3 billion of remdesivir, … a positive that was not expected at the start of the year,” said Jefferies analyst Michael Yee.

Gilead’s second-quarter sales fell nearly 10% from a year earlier to $5.1 billion, short of the average analyst estimate of $5.3 billion, according to Refinitiv.

The results reflected weak sales of Gilead’s hepatitis C drugs and flagship HIV treatments during coronavirus pandemic lockdowns. The company said it expects its HIV drugs and hepatitis C sales to begin regaining momentum in the current third quarter.

Adjusted earnings for the second quarter of $1.11 per share fell short of analysts’ average estimate by 34 cents.

Shares of Gilead, which closed up about 1% in regular trading, were down 3.5% at $69.80 in extended trading.

Second-quarter sales of Gilead’s HIV drugs fell 1% from a year earlier to $4 billion, while sales of drugs to cure hepatitis C fell 47% to $448 million due to fewer new patients and competition from rival drugs.

Gilead this month began commercial sales of remdesivir, which is given to hospitalized patients by infusion. The drug was granted emergency use authorization by the U.S. Food and Drug Administration in May after it demonstrated an ability to shorten hospital stays for COVID-19 patients, but does not yet have full U.S. approval. It was approved in Japan.

Demand for remdesivir continues to outstrip supply in many parts of the world.

Gilead’s chief executive, Daniel O’Day, on a conference call, said the company expects by the end of September to be producing enough remdesivir to meet real-time global demand.

Gilead said it still expects to manufacturer 2 million or more remdesivir treatment courses cumulatively in 2020, and its revenue outlook reflects expected sales of up to 1.5 million courses this year.

The company said it has launched a clinical trial of an inhaled formulation of remdesivir, with the aim of more effectively delivering the drug to lung tissue. Gilead also plans to study the drug in patients with earlier-stage COVID-19.

The U.S. National Institute of Allergy and Infectious Diseases is currently conducting a trial of remdesivir in combination with Olumiant, an arthritis drug from Eli Lilly & Co, and those results are expected next month.

So far, only remdesivir and the generic steroid dexamethasone have been shown in rigorous clinical trials to help patients with COVID-19.

(Reporting By Deena Beasley and Michael Erman; Editing by Bill Berkrot and Leslie Adler)

If you’re thinking about getting a mortgage, you might be concerned that mortgage interest rates may creep up in August after falling steeply since the start of the pandemic. The good news is experts expect rates to stay at or near historic lows in August 2020.

“Mortgage rates are likely to remain at record low levels through August and for the foreseeable future, given the weak economic backdrop. The uncertain nature of the coronavirus and the likelihood of a long economic recovery will keep a lid on mortgage rates,” says Greg McBride, CFA, Bankrate chief financial analyst.

Mortgage rates have continued their downward trend since the COVID-19 crisis started months ago. The average yield on the benchmark 30-year fixed-rate mortgage fell in the last week of July to a new record low of 3.30 percent, based on Bankrate’s weekly poll of major lenders. A year ago, the 30-year was 3.97 percent. The 30-year fixed-rate average for the week is 0.67 percentage points below the 52-week high of 3.97 percent.

Where mortgage rates are headed in August

Rates aren’t likely to rise or fall much in the near future, the pros agree.

“While some slight daily variation can be expected, there should be little change in the 30-year fixed mortgage rate in August. The continued demand for 10-year Treasury securities – the anchor for long-term mortgage rates – will serve to keep rates hovering around plus or minus 3 percent,” says Ken H. Johnson, real estate economist with Florida Atlantic University in Boca Raton, Florida.

Logan Mohtashami, an Orange County, California-located lead analyst at HousingWire, echoes those thoughts.

“The 10-year yield refuses to break under 0.62 percent with any kind of velocity,” says Mohtashami. “But we have two factors that might drive rates just a tad downward: if the government disaster relief isn’t big enough, and if some of the recent economic gains are lost. Also, if this second surge of coronavirus cases gets worse, it will cause the 10-year yield to break lower.”

Indeed, the longer our nation goes without an effective COVID-19 vaccine, the more uncertain our economy becomes and the more likely it is that rates will stay flat or fall even more.

“How we manage the pandemic will be a major factor in where mortgage rates go in the long run,” says Johnson. “With a combination of effective vaccines and treatments, the impact of the virus on the economy will be less and, all else being equal, rates should remain steady.”

The forthcoming election could alter matters sooner than expected, too.

“I expect the 30-year rate to dip below 3 percent in August, as the election cycle will have enough traders nervous that you’ll see additional money flowing to bond holdings, driving rates downward,” says Derek Egeberg, producing branch manager for Academy Mortgage Corporation in Yuma, Arizona. “I anticipate rates to remain lower through the end of the fourth quarter and until earnings for this year’s holiday season are reported and the election cycle is over.”

Mortgage rates beyond August

The Mortgage Bankers Association predicts that the 30-year fixed-rate should remain relatively unchanged over the next five months, averaging 3.3 percent for 2020 and heading up to 3.5 percent in 2021. Freddie Mac expects rates to remain low, dropping to a yearly average of 3.4 percent this year and 3.2 percent in 2021. Fannie Mae, meanwhile, foresees rates dropping to 3.0 percent in the third and fourth quarters of 2020 and dipping to as low as 2.8 percent a year from now.

Forecasting through the rest of the year and into 2021, McBride believes the path of mortgage rates will be dictated by how the economy fares, ongoing stimulus measures from the Federal Reserve, and the inflation outlook.

Act soon on a new mortgage or a refinance, expert advises

Egeberg is convinced right now is the most ideal time to purchase or refinance a home.

“Similar to asking our grandparents why they didn’t buy more homes 50 years ago when prices were cheaper, our children will ask us about the ‘Great Interest Rate Decline’ of 2020 and if we were able to capitalize on these historic low rates,” he says. “This is the single biggest buying opportunity of our lifetime due to how affordable the debt payments are the current interest rate environment.”

Before rushing into a decision, however, do your homework first; crunch the numbers and ensure you can afford the monthly payments.

“Rather than timing a home purchase based on low mortgage rates, it’s better to make sure your finances are in solid shape before taking the plunge,” McBride says. “Work on improving your credit score, paying down debt and boosting savings. These steps will make you better prepared for successful homeownership, regardless of whether your rate is 2.5 percent or 3.5 percent.”

Photo by Wolfgang Kaehler/LightRocket via Getty Images.

Learn more:

China’s manufacturing activity edged up in July and export orders strengthened despite weak U.S. and European demand, a survey showed Friday, in fresh signs the world’s second-largest economy is gradually recovering from the coronavirus pandemic.

The monthly purchasing managers’ index issued by the Chinese statistics bureau and an industry group rose to 51.1 from June’s 50.9 on a 100-point scale. Numbers above 50 show activity increasing.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

A measure of new orders improved to 51.4 from 51.7, according to the National Bureau of Statistics and the China Federation of Logistics & Purchasing. New export orders rose 5.8 points to 48.4.

The results suggest “China’s economy continues to maintain a rebound trend,” the federation said in a statement.

China, where the pandemic began in December, was the first economy to shut down to fight the virus and the first to try to revive business after the ruling Communist Party declared victory over the disease in March.

BIG TECH CEOS DIVIDED ON CHINA TECHNOLOGY THEFT

The economy grew by an unexpectedly strong 3.2 percent over a year earlier in the three months ending in June, rebounding from a 6.8 percent contraction the previous quarter.

Manufacturing is close to normal activity but retailing, restaurants and other service industries are struggling.

CLICK HERE TO READ MORE ON FOX BUSINESS

Forecasters warn exports are likely to dip again later in the year once demand for masks, surgical gloves and other medical supplies eases. That will increase the burden on Chinese consumers and government stimulus spending to keep a recovery on track.

(Bloomberg) — Nokia Oyj bumped up its full-year earnings guidance after slashing costs and overhauling its products to catch up with rivals in the market for fifth-generation wireless networks.

The company expects diluted earnings per share of 0.25 euro cents, plus or minus 5 cents, versus a previous projection for 0.23 euro cents.Adjusted operating profit for the second quarter was 423 million euros, beating average analyst estimates of 289.8 million euros according Bloomberg-tracked ratings.

Key Insights

Chief Executive Officer Rajeev Suri’s last results as CEO mark a low-point for Nokia after it lost ground to competitors in 5G mobile networks and the coronavirus disrupted supply chains and dampened investment.“Nokia-level revenue was down in the quarter” largely due to Covid-19 and China declines, Suri said in the statement. “We expect that the majority of sales missed in the quarter due to Covid-19 will shift to future periods.”Its fortunes are set to improve as a new low-cost radio-access base station puts it back in the game on 5G and chief rival Huawei is forced out of key European markets by a U.S.-led boycott campaign. That company’s struggles may be one reason Nokia can upgrade its guidance.Nokia said it expects to slightly underperform its primary addressable market, excluding China. Previously it had said it expected to perform in line with the market.

Market Context

Nokia shares were up about 4% for the year through Thursday’s close. More analysts are advising clients buy the stock than are recommending a hold or a sell stance.

Get More

Suri’s replacement, Pekka Lundmark, takes over on Aug. 1 and is expected to begin a review of strategy. Suri’s biggest move was to buy rival Alcatel-Lucent in 2016, a deal that gave Nokia a wider product portfolio but required a complex integration process that, according to analysts, distracted management just as the 5G race was beginning.Nokia’s second-quarter net sales were down 11% from a year earlier to 5.09 billion euros ($6.05 billion), compared to an average analyst forecast of 5.31 billion euros.Nokia reported an operating margin of 9.5% plus or minus 1.5 percentage points, against a previous midpoint of 9.0%.See the numbers here.Nokia Cuts 1,200 French Jobs in Former Alcatel-Lucent BusinessHow Nokia’s Alcatel Deal Has Come Back to Haunt Its CEO

(Updates with CEO comments under Key Insights)

For more articles like this, please visit us at bloomberg.com

Subscribe now to stay ahead with the most trusted business news source.

©2020 Bloomberg L.P.