Health officials and industry executives offered insights and updates on the coronavirus pandemic as part of CNBC’s virtual Healthy Returns Summit on Tuesday. Over on the Hill, Dr. Anthony Fauci offered his own insights, including some somber warnings, about the outbreak before a Senate committee, and the economic and corporate toll of the crisis continues to unfold.
This is CNBC’s live blog covering all the latest news on the coronavirus outbreak. All times below are in Eastern time. This blog will be updated throughout the day as the news breaks.
Global cases: More than 4.2 millionGlobal deaths: At least 287,158US cases: More than 1.3 millionUS deaths: At least 80,897
The data above was compiled by Johns Hopkins University.
8:30 pm: Tesla employees say Elon Musk showed up to make Model 3s, in defiance of local health orders
On Tuesday, Tesla continued manufacturing electric vehicles at its Fremont, California factory in defiance of local authorities, and health orders designed to curb the spread of the novel coronavirus.
On Monday, local health officials ordered Tesla to revert to minimum basic operations until the company could offer better Covid-19 testing for employees, along with other protective measures.
Workers said, despite the warning, CEO Elon Musk showed up at the Fremont factory to produce Model 3s during a late shift on Monday. He also sent an e-mail thanking workers for coming back. Workers who returned from furlough told CNBC that they remained concerned about becoming infected at work– in particular because social distancing is not a possibility while assembling cars.
The Fremont Police Department, as of Tuesday, had not taken any action to enforce the county’s health orders. But the Alameda County Sheriff’s office said enforcement does, ultimately, fall on the shoulders of Fremont police. —Lora Kolodny
8 pm: Stores may use voice assistants to transform shopping
The coronavirus is changing how people shop, and voice assistants may play a large role going forward, retail consultant Jan Kniffen told CNBC.
Kniffen said stores could deploy it to help people avoid waiting in lines outside stores, among other uses. Kniffen said on “The Exchange” that the technology already exists and argued it can be implemented soon. “It can be done. Everybody is working on it,” said Kniffen, CEO of J Rogers Kniffen WWE. —Kevin Stankiewicz
7:30 pm: Gov. Doug Ducey says Arizona pools, gyms and spas can re-open on Wednesday
Arizona Gov. Doug Ducey on Tuesday announced guidelines that will allow pools, gyms and spas in the state to re-open on Wednesday with physical distancing and enhanced sanitation.
“It is time to move forward with the next steps of Arizona’s economic recovery — while continuing to make health and safety our number one priority,” Ducey said in a statement. Ducey said Arizona’s Stay At Home order will end on May 15. Additionally, Ducey announced that Arizona will allow major league sports to resume play in the state without fans on Saturday.
The decision to end the order and allow pools, gyms, spas and professional sports to resume comes after “a four-week downward trajectory of positive cases as a percentage of total diagnostic tests,” Ducey said in a tweet.
7 pm: Doctor who survived Ebola: US needs more coronavirus testing, contact tracing
Dr. Craig Spencer, the New York City doctor who survived Ebola, told CNBC that the U.S. needs to expand its coronavirus testing capacity and contact tracing programs in order to safely restart the economy.
Those programs are critical for weeks, months and possibly years to come “to make sure we don’t continue to have constant interruptions from this virus,” said Spencer, director of global health in emergency medicine at New York-Presbyterian/Columbia University Medical Center.
Spencer said stay-at-home orders have been successful in flattening the curve of Covid-19 cases, but argued that the remaining pieces of the U.S. public health response must be improved. – Kevin Stankiewicz
6:49 pm: DOT sees surge in airline refund complaints while carriers grapple with face mask rules on board
Jets are parked on runway 28 at the Pittsburgh International Airport on March 27, 2020 in Pittsburgh, Pennsylvania. D
The Department of Transportation has again warned airlines about offering travelers refunds, not just travel vouchers, for canceled flights after complaints rose to some 25,000 in March and April from a normal monthly intake of about 1,500.
The DOT added, however, that travelers with non-refundable tickets whose flight is still operating close to the schedule may not receive a voucher or refund.
Separately, airlines are noting the limits of new rules that require passengers to wear face masks. While travelers may be denied boarding by gate agents, “once onboard and off the gate, the face-covering policy will become more lenient,” American Airlines told its pilots. “The flight attendant’s role is informational, not enforcement, with respect to the face-covering policy.”
United Airlines, for its part, said staff could move a passenger who refuses to wear a mask to a new seat. Travelers who have health issues, are too young to keep the mask on, or another reason, won’t be forced to wear a mask. —Leslie Josephs
6:30 pm: Gov. Gavin Newsom says pharmacies in California can test for Covid-19 if they meet guidelines
California Gov. Gavin Newsom on Tuesday announced that the nearly 6,500 pharmacies throughout the state will now be able to conduct tests for the coronavirus if they meet specific guidelines.
“The good news is we’re now going to increase additional sites with our pharmacies in the state of California, and we hope to start seeing those pop up very, very soon,” he said during his daily press briefing.
Newsom said he issued an executive order directing the California Department of Consumer Affairs and the state’s Board of Pharmacy to provide the guidelines necessary for licensed California pharmacies to become points of contact for coronavirus testing if they so choose. “That doesn’t mean every one of them is going to start testing today or even determine that’s its in their interest to test at all,” Newsom said. “Its a determination on the basis of each of these pharmacies whether or not they want to do this.”Newsom said this executive order is an important milestone in California’s road map to re-opening. The California Retailers Association and the National Association of Chain Drug Stores said in a statement that participating pharmacies will work with the state to develop and execute their plans for safe testing. —Salvador Rodriguez
6 pm: $10 million push to ready upscale restaurants for takeout
Nick Kokonas, the co-owner of Chicago’s upscale Alinea restaurant, just raised $10 million in venture funding for his internet start-up Tock, which is helping high-end eateries transition to takeout.
Kokonas told CNBC that Tock, which has about 100 employees, processed $350 million in transactions last year by selling prepaid reservations to customers for high-end restaurants. When the coronavirus hit, Tock quickly adapted the business to focus on takeout orders. Within the next month or two, Kokonas expects, the company will be on pace to process $1 billion in orders annually.
Valor Siren Ventures, a fund that raised $100 million from Starbucks last year to support next-generation food-tech companies, led the financing round. Tock is now in the process of opening up its platforms to farms, so they can distribute fresh produce directly to consumers. —Ari Levy
5:40 pm: Some venues at Universal’s CityWalk in Orlando will reopen Thursday
Universal Orlando Resort in Florida.
Bubba Gump Shrimp Co., Jimmy Buffett’s Margaritaville, Voodoo Doughnut and Hollywood Drive-In Golf are among the select venues reopening at Universal’s CityWalk in Orlando starting May 14.
Guests will be required to wear face masks to enter CityWalk, but can remove them while eating. Universal will be doing temperature checks for visitors and for employees in order to gain entrance.
Cashless pay will be made available at all shopping and food venues. Blue Man Group, all nightclubs and Universal Cinemark will remain closed. —Sarah Whitten
5:20 pm: State AGs ask Amazon for data on worker deaths
Attorneys general from 13 U.S. states and territories are calling on Amazon and Whole Foods to share how many workers have tested positive or died from the coronavirus at their facilities. In a letter on Tuesday, officials asked for a state-by-state breakdown of this information and urged the companies to adopt paid sick leave policies, among other things.
The group acknowledged that Amazon and Whole Foods have taken a wide range of steps to better protect workers at their facilities, but “such policies are only as effective as compliance with them” at individual sites. So far, Amazon hasn’t shared how many workers have died from the coronavirus nationwide. It has also declined to provide a total number of workers who have tested positive for the virus at its facilities. There are four known cases of Amazon warehouse workers who have died from the virus, as well as reports of at least one Whole Foods employee who died from the disease. —Annie Palmer
4:50 pm: Restaurants can reopen under restrictions in some California counties
An employee inside a restaurant waits for customers arriving for pickup in Alhambra, California on May 7, 2020.
Frederic J. Brown | AFP | Getty Images
With California moving into the second stage of its reopening plan, certain counties can allow on-site dining in restaurants, Gov. Gavin Newsom announced.
Butte and El Dorado counties can reopen dining services as long as they follow certain requirements such as offering disposable menus, suspending the use of shared food items like condiment bottles and changing table linens after each use. Restaurants are also recommended to encourage social distancing by asking customers to wait in their cars prior to being seated, and requiring distances of 6 feet apart between employees and patrons. —Hannah Miller
4:40 pm: Moderna CEO says no single drugmaker can produce enough coronavirus vaccine doses for the planet
Moderna CEO Stephane Bancel said he hopes U.S. and international regulators approve many vaccines to enter the market because “no manufacturers can make enough doses for the planet.” Moderna is moving into a phase 2 trial for its vaccine and is finalizing plans for a phase 3 trial as early as this summer.
Regeneron CEO Leonard Schleifer, whose company is developing an antibody drug against Covid-19 with plans to enter human trials in June, told CNBC’s Healthy Returns Virtual Summit that the problem isn’t with the physical distribution of a potential coronavirus drug, which could be made available by major retail chains, but rather with the ability to meet demand. Schleifer said multiple companies will need to succeed in the development of their coronavirus therapeutics because “the demand will far exceed the capacity.” —Noah Higgins-Dunn
4:30 pm: California governor allows shopping malls, some offices to resume operations with modifications
FIGat7th open-air shopping mall located at 735 S Figueroa St. in the Financial District of Downtown Los Angeles.
Al Seib | Los Angeles Times via Getty Images
California Gov. Gavin Newsom announced new modifications to his statewide stay-at-home order that will allow offices that can’t telework, shopping malls and outdoor museums to resume operations with added health safety guidelines.
Car washes, pet grooming and dog walking will also be allowed to resume statewide, he said. Newsom said it’s still up to local governments to determine whether they’re ready to move further into the next step. Both the Bay Area and Los Angeles have issued their own stay-at-home orders. He previously granted retailers, like those that sell clothing, books and sporting goods, to begin offering curbside pick-up last week as the state moves deeper into “stage 2” of its reopening plan, although malls weren’t allowed in the initial order. Shopping malls, strip malls and outlets will now be allowed to offer curbside pickup as well, he said. —Noah Higgins-Dunn
4 pm: India to provide $266 billion to boost pandemic-hit economy
India’s Prime Minister Narendra Modi
Tolga Akmen | AFP | Getty Images
India will provide 20 trillion ruppes ($266 billion) in fiscal and monetary measures to support the country’s economy, which has suffered from the coronavirus, said Prime Minister Narendra Modi. Modi said the relief package was equivalent to 10% of India’s gross domestic product.
The government was previously accused of giving too little support when it said it will provide around 1.7 trillion rupees ($2.6 billion) in March. “The package will also focus on land, labor, liquidity and laws. It will cater to various sections including cottage industry, medium and small enterprises, laborers, middle class, industries, among others,” Modi said. —Jasmine Kim
3:45 pm: Pfizer plans to test a coronavirus vaccine in thousands of people by September
A logo for Pfizer is displayed on a monitor on the floor at the New York Stock Exchange, July 29, 2019.
Brendan McDermid | Reuters
Pfizer is planning to test its experimental coronavirus vaccine in thousands of people by September if the company stays on track, CEO Albert Bourla said Tuesday. “We are collecting data as we speak in real time so we know, we are monitoring the safety of the doses,” Bourla said.
Pfizer is currently testing four vaccine variations and will have conclusive data on which vaccine variation stands out in June or July, Bourla said during CNBC’s Healthy Returns Virtual Summit. If one or two variations indicate success, the company will ramp up trials, and then in September launch a broad large-scale study with thousands of participants if a vaccine proves to be successful, he added. —Jessica Bursztynsky
3:20 pm: Scientists may have a vaccine by years end if ‘lucky,’ Melinda Gates says
Co-chair of the Bill and Melinda Gates Foundation, Melinda Gates
Jemal Countess | Getty Images Entertainment | Getty Images
It is possible scientists may find a usable vaccine to fight off Covid-19 by the end of the year “if we’re lucky,” billionaire philanthropist Melinda Gates told CNBC.
But even if scientists do find a vaccine in record time, they would still need to make millions and eventually billions of doses of the vaccine for the general public, Gates said. There are more than 7.6 billion people in the world and some of the vaccines under development require more than one dose.Gates said she is following “closely” advancements from Moderna, Johnson & Johnson and Oxford University, which are each producing a potential vaccine to fight the coronavirus, which has infected more than 1.3 million people in the United States, according to data compiled by Johns Hopkins University. —Berkeley Lovelace Jr.
2:52 pm: Former FDA Commissioner Scott Gottlieb says US is in the second inning of coronavirus epidemic
The U.S. is in the second inning of the coronavirus epidemic, as the rate of new Covid-19 cases slows, according to former Food and Drug Administration Commissioner Dr. Scott Gottlieb.
“We’ve now seen the virus whip around the world, and we’re now grappling with our own epidemic here in the United States and are starting to plateau and hopefully come down the epidemic curve,” Gottlieb said during CNBC’s Healthy Returns virtual conference.
Gottlieb added that transmission will start to slow down as more people become exposed to the virus while new infections plateau for some time. However, he cautioned that the U.S. will face a “very different threat” heading into the fall, winter and spring of next year as the virus settles into a more “seasonal pattern.” —Jasmine Kim
2:41 pm: US hits $738 billion budget deficit in April
The U.S. reported a record $738 billion budget deficit in April, the result of an increase in federal spending in response to the Covid-19 pandemic. The deficit report was the first to take into account the massive spending implemented by the government to offset the negative economic impact of the outbreak, Reuters reports. —Hannah Miller
2:19 pm: Florida unemployment applicants see delays in payouts
Florida has emerged as one of the country’s worst offenders when it comes to delays in paying out unemployment benefits.
The state has paid just 28% of the 1.9 million unemployment applicants since mid-March. And some who’ve gotten money feel short-changed.
The delays come as a statewide moratorium on evictions is scheduled to end within a week – potentially leaving some residents in dire straits if it’s not extended. —Greg Iacurci
2:10 pm: Fauci delivers somber warnings to Congress
Dr. Anthony Fauci, director of the National Institute of Allergy and Infectious Diseases, appears remotely via a video conference due to possible exposure to COVID-19, known as coronavirus, as he testifies about reopening schools and workplaces safely during the pandemic, during a US Senate Health, Education, Labor and Pensions (HELP) Committee hearing as seen on a laptop in Washington, DC, May 12, 2020.
Saul Loeb | AFP | Getty Images
White House health advisor Dr. Anthony Fauci delivered stark warnings to Senators during a three and a half hour hearing Tuesday.
In his testimony in front of the Senate Committee on Health, Education, Labor and Pensions, Fauci cautioned the U.S. could face more “suffering and death” if states move to reopen businesses too quickly.
Fauci said the U.S. risked “multiple outbreaks” if it pushed forward with reopening before meeting criteria laid out by the White House, including increased testing capacity and a decline in hospitalizations.
He warned against moving to reopen schools too quickly after Sen. Rand Paul, R-Ky., challenged him on the issue given the low reported mortality rate in children so far.
Fauci said there are still many things health researchers don’t know about the effects of the virus and pointed to the inflammatory syndrome recently reported in some children that seems to be linked to Covid-19. Fauci said he’s “cautiously optimistic” about the prospect of an effective vaccine to combat the virus, but said, “there’s no guarantee that the vaccine is actually going to be effective.” In the past, at least two vaccines have produced a “suboptimal response,” he said, making a virus stronger. —Lauren Feiner
2 pm: Boeing 737 Max cancellations pile up as coronavirus worsens outlook
Boeing 737 MAX airplanes are shown outside the company’s factory on April 29, 2020 in Renton, Washington. Boeing announced during an earnings call today that it would lay off 15 percent of its commercial-airplanes division workforce amid the fallout from the coronavirus pandemic.
Stephen Brashear | Getty Images
Boeing customers canceled orders for 108 of the company’s 737 Max planes in April, driving down its order backlog as the coronavirus pandemic roils air travel.
The company’s backlog fell to 4,834 planes from 5,049 planes because of the April cancellations and other aircraft Boeing took off its firm-order tally. That brought it to the lowest level since 2013, although Boeing says part of the decline is partially because of an accounting rule it implemented in 2018 under which it takes some orders off the list if a purchaser doesn’t meet certain criteria. Among the customers that canceled orders was General Electric’s aircraft leasing arm. Boeing halted deliveries of the 737 Max jetliners in March 2019, just after the second of two fatal crashes. —Leslie Josephs
1:45 pm: Under Armour sees gradual recovery in the US, with stores potentially closing again after they reopen
Under Armour CEO Patrik Frisk told CNBC that the athletic apparel company is expecting a “gradual” recovery in the U.S.
The interview came a day after Under Armour reported dismal quarterly earnings and said sales could be down as much as 60% in the second quarter.
“We are going to see a gradual opening, and I think there’s going to be a few ups and downs in terms of potentially shutting down stores, reopening stores,” Frisk said.
Meantime, Under Armour athletes may be a paycheck short this month. With plummeting sales amid coronavirus, the company said they are working with some of their athletes to re-negotiate payment of their contracts.
This could impact some of the biggest names in sports, including Tom Brady, Steph Curry, Bryce Harper, Jordan Spieth who are all endorsers for the brand. Under Armour said as part of their cost-cutting measures they are also trimming their marketing budgets. – Lauren Thomas, Jessica Golden
1:34 pm: House Democrats unveil new $3 trillion coronavirus relief bill
House Democrats released their latest bill designed to blunt the devastating effects of the coronavirus pandemic on the economy and health-care system.
Party leaders expect to vote on the package on Friday.
The bill includes nearly $1 trillion in relief to state and local governments and a second round of direct payments of $1,200 per person. It also includes $200 billion for hazard pay for essential workers and $75 billion for coronavirus testing and contact tracing. —Yelena Dzhanova
1:24 pm: Sweden to spend $226 million on care for the elderly
People sitting in the sun on the steps of the Royal Dramatic Theater practice social distancing in Stockholm on April 22, 2020, amid the coronavirus pandemic.
Janerik Henriksson | TT News Agency | AFP | Getty Images
The Swedish government plans to spend an additional 2.2 billion Swedish krona ($226 million US) on training for 10,000 careworkers for the elderly.
This comes as Sweden, which controversially resisted a full lockdown, has seen the number of confirmed cases of coronavirus rise to 27,272 while its death toll reached 3,313, according to the latest figures compiled by Johns Hopkins University. Over half of the deaths, as of last week, had occurred in care homes. —Victoria McKeever
1:07 pm: More than 50 kids in New York City have coronavirus inflammatory syndrome, mayor says
New York City Mayor Bill de Blasio said there are 52 confirmed cases of pediatric multi-system inflammatory syndrome, a potentially fatal disease that’s causing heart and kidney failure in children, and 10 cases pending.
Of those cases, 25 children have tested positive for Covid-19 and 22 others had antibodies against the disease, suggesting they previously had the coronavirus and recovered, he said. One child in the city has died from the disease, officials said.
De Blasio said the syndrome was not something the healthcare community previously saw on their radar. The disease has started to appear in the last two weeks, he said.
City officials advised parents to immediately call their doctor if their child has a persistent fever, rash, abdominal pain and vomiting. “Early detection, early action makes all the difference here,” de Blasio said. —Noah Higgins-Dunn
12:50 pm: Broadway shows will remain closed until at least Labor Day
A man walks past Broadway show posters on Shubert Alley in Times Square after it was announced that Broadway shows will cancel performances due to the coronavirus outbreak in New York, U.S., March 12, 2020.
Mike Segar | Reuters
There will be no Broadway shows until at least Labor Day.
The Broadway League, a trade organization that represents producers and theater owners, announced that all of Broadway’s 41 theaters in New York City will remain closed through Sept. 6.
Folks that have tickets for performances from now until that date have been advised to contact their point of purchase in order to get a refund or to exchange their tickets. —Sarah Whitten
12:39 pm: Walmart gives another bonus to hourly workers
Caution tape hangs at the entrance of a temporarily closed Walmart store, where a number of employees tested positive for the coronavirus disease (COVID-19) and one employee died, in Quincy, Massachusetts, May 5, 2020.
Brian Snyder | Reuters
Walmart’s hourly workers will get another bonus for checking out customers, fulfilling online orders, driving trucks of grocery items and more during the coronavirus pandemic.
It will be the second time the retailer has given special payments to employees during the pandemic. Walmart will give full-time workers $300 and part-time or temporary workers $150 on June 25. It announced special payments of the same amount in mid-March and accelerated payout of its first-quarter bonuses.
Walmart said it’s committed to spending more than $935 million in employee bonuses so far this year — including more than $390 million for the upcoming bonuses, according to a news release.
Walmart has hired an additional 200,000 employees to keep up with demand during the pandemic. The company has said many of the temporary roles have been filled by people who have lost jobs in industries like restaurants and hospitality. —Melissa Repko
12:32 pm: Cramer foresees empty skyscrapers after virus passes
CNBC’s Jim Cramer said he believes companies and their employees will be reluctant to return to physical offices after the pandemic.
“I see tremendous, tremendous tall office buildings with nobody in them,” Cramer said on “Squawk on the Street.”
The “Mad Money” host said that health concerns and the reliability of work-from-home technology will make telecommuting more common going forward. Even as states are reopening business across the country, some large employers like Facebook are considering keeping employees at home even after lockdown measures are lifted. —Jesse Pound
12:08 pm: Coronavirus school closures could cause epic slide in math and literacy skills
With more school districts deciding not to return to the classroom for the remainder of the academic year, parents are increasingly worried about the impact on their child’s education.
Their fears are not unfounded: Due to coronavirus school closures, students could be losing 30% of reading gains and 50% of math skills, according to a new report by the Northwest Evaluation Association.
Keeping kids reading and engaged with academic material can prevent skills from atrophying. Fortunately, educational institutions including Scholastic and Khan Academy, as well as some well-known children’s authors, are rolling out special digital programs in response to Covid-19 to help kids stay on track.
The best part: These programs are not only free but also kid-driven so children can work independently to help parents distracted by their own stresses, perhaps due to a job loss or the new demands of remote working. —Ilana Polyak
11:58 am: Younger investors are jumping into trading during coronavirus market turmoil
The major online brokers saw new accounts spike in the first quarter, when stocks experienced a dismal rout and subsequent rebound during the coronavirus crisis.
Many of these new accounts were new, younger investors.
The new accounts may represent “new investors who sense a generational-buying moment but do not have much background in the equity space,” said Citi chief U.S. equity strategist Tobias Levkovich. But young people apparently saw it as an opportunity and began buying familiar technology stocks. —Maggie Fitzgerald
11:42 am: Chamath Palihapitiya defends Elon Musk’s Tesla reopening
Social Capital CEO Chamath Palihapitiya defended Elon Musk’s move to reopen Tesla’s Fremont, California, plant.
Palihapitiya argued that local, state and federal regulations amid the pandemic are confusing, and the county needs to work with Musk to make a coherent plan.
“The federal government has this specific set of guidelines. People may think they fall into those guidelines. Then states then issue guidelines and then on top of that you have regulations at local levels. When you put them all together it’s incredibly confusing,” Palihapitiya said on “Squawk Box.” —Jessica Bursztynsky
11:27 am: Pants are out. And pajama sales are soaring during the pandemic
Clearly, consumers are turning to comfortable items to wear at home during the coronavirus pandemic.
Online sales of pajamas surged 143% in April from March, while purchases of pants fell 13% and bra sales declined 12%, according to data from Adobe Analytics. Online apparel sales overall in April increased 34% from March, Adobe said, as many bricks-and-mortar shops were forced shut.
Some analysts think the comfort-cozy trend could be here to stay, as many people will not be heading back to the office anytime soon. More formal wear could be in trouble. —Lauren Thomas
10:43 am: Car rental firm Hertz on the ropes raises going-concern doubts
Hertz raised doubts about its ability to continue operations and said it was in talks with key stakeholders and advisors to develop a financing strategy.
The car rental company had last week said its lenders had extended the deadline for certain loan repayments to May 22, giving it more time to chalk out a financing plan to avoid bankruptcy.
Hertz also expects $2.5 billion in annualized savings from cost-cutting measures, such as layoffs and selling excess fleet before the shutdown of the used-car market. —Melodie Warner, Reuters
10:40 am: US grocery costs jump most in 46 years as meat and egg prices pop
A shopper wearing a protective mask walks down an aisle at a grocery store in Chicago, Illinois, U.S., on Thursday, May 7, 2020.
Christopher Dilts | Bloomberg | Getty Images
Prices Americans paid for groceries leaped in April as people stocked up on milk, eggs, meat and cereals amid government lockdowns designed to slow the spread of Covid-19. The government said Tuesday that prices U.S. consumers saw at supermarkets rose 2.6% in April, the largest one-month pop since February 1974.
The cost of the meats, fish and eggs category gained 4.3%, fruits and vegetables rose 1.5%, cereals and bakery products climbed 2.9% and dairy goods advanced 1.5%. —Thomas Franck
10:35 am: College acceptance rates may jump as schools aggressively court applicants
With an increasing number of incoming freshmen reconsidering their options for the fall and many international students unable to enter the U.S., some colleges and universities are desperate to hit their enrollment numbers for the 2020-2021 academic year.
That means accepting more students than in the past. This spring, six of the eight Ivy Leagues, including Harvard and Yale, reported an uptick in acceptance rates for the Class of 2024.
“For the current class, acceptance rates were slightly higher than last year,” said Hafeez Lakhani, president of New York-based Lakhani Coaching. “The coming year, you are going to see another big jump.” —Jessica Dickler
10:28 am: Fauci begins testifying
Dr. Anthony Fauci, director of the National Institute of Allergy and Infectious Diseases, began testifying before the Senate Health Committee. Fauci’s testimony will be closely watched by Wall Street as investors gauge the potential for the economy to reopen in a timely manner. The New York Times reported earlier that he said in prepared remarks that reopening too quickly will cause “needless suffering and death.” —Fred Imbert
Watch Dr. Fauci’s testimony here live.
10:06 am: President Trump sides with Elon Musk over Tesla production
U.S. President Donald Trump speaks during a press briefing in the Rose Garden of the White House in Washington, D.C., on Monday, May 11, 2020.
Oliver Contreras | Sipa | Bloomberg via Getty Images
President Donald Trump backed Elon Musk’s calls to resume Tesla production at its California plant. “California should let Tesla & @elonmusk open the plant, NOW. It can be done Fast & Safely!” Trump said on Twitter. Musk has been pushing to resume its California production, but local officials have advocated against swift attempts to return. —Jessica Bursztynsky
10 am: Toyota, Honda warn outbreak is devastating car sales
Toyota Motor and Honda Motor issued bleak warnings on the coronavirus’s impact on global sales.
Toyota said it now expects quarterly earnings to plummet 80% to the lowest level in nine years, Reuters reported. Japan’s biggest automaker said it is facing weak demand as massive job losses and the global economic downturn have dampened consumer spending.
Honda refused to issue an outlook for the rest of the year, after reporting its weakest operating profit in four years, according to Reuters. —Terri Cullen
9:49 am: Boeing CEO says coronavirus ‘likely’ to put a U.S. airline out of business
Dave Calhoun, Chairman of Boeing.
Adam Jeffery | CNBC
Boeing CEO Dave Calhoun said a major U.S. airline will likely go out of business this year because of the devastating impact of coronavirus on air travel. “I don’t want to get too predictive on that subject, but yes, most likely,” Calhoun said in an interview with NBC’s “TODAY” show that aired Tuesday. “You know, something will happen when September comes around.”
Airline passenger numbers have dropped to the lowest levels since the 1950s, according to Airlines for America trade group, and carriers are posting their first losses in years.
Calhoun said traffic levels aren’t likely to get back to even 25% of the norm in September. Airlines are required to keep their employees through the end of that month under the terms of $25 billion in federal payroll grants, which U.S. carriers started receiving portions of last month.
Airline executives have recently said that they have hit the low point but don’t expect demand to bounce back. The Transportation Security Administration said 215,645 passed through U.S. airport security checkpoints on Monday, the highest since March 25, but still down more than 91% from a year ago. —Leslie Josephs
Clarification: Calhoun’s comments to “TODAY” were aired Tuesday but were recorded earlier.
9:36 am: Nasdaq heads for a seventh straight day of gains
Stocks rose slightly at the open as investors evaluated the latest attempts to reopen the economy. The Dow Jones Industrial Average gained 133 points, or 0.6%. The S&P 500 climbed 0.5% along with the Nasdaq Composite.
Read a full report on markets activity from CNBC’s Fred Imbert and Yun Li. —Melodie Warner
9:29 am: Hot spots of new cases spread in South East 9:22 am: Coronavirus crisis creates ‘perfect storm’ for suicide risk, report says
While stay-at-home orders aimed at containing the coronavirus outbreak by reducing human contact, shuttering schools, offices and other nonessential businesses have been effective, “the potential for adverse outcomes on suicide risk is high,” according to an article published in JAMA Psychiatry.
Stock market losses caused by the Covid-19 pandemic, combined with millions of people quarantining at home alone creates the “perfect storm” for an increased risk of suicide for many people, according to the JAMA article published last month.
Suicide rates also tend to peak in the late spring and summer in the northern hemisphere, according to the JAMA article co-written by Dr. Mark Reger, a leading suicide prevention researcher and chief of psychology services at VA Puget Sound Health Care System.
The fact that this “will probably coincide with peak Covid-19 prevention efforts is concerning and deserves additional study,” he wrote. In March, two-thirds of surveyed adults by the American Psychiatric Association feared the pandemic would have a long-lasting impact on the economy. —Noah Higgins-Dunn
9 am: Biden advises governors to ‘listen to Dr. Fauci’ as they reopen their states
Joe Biden in an interview on MSNBC.
Former Vice President Joe Biden said that if he were president now, he would advise governors to consider Dr. Anthony Fauci’s warnings in their plans for reopening states.
“We’re in a situation where there’s a great crisis. Dr. Fauci talks about if we open needlessly or open soon, there’s going to be needless deaths and we have to have things in place. Everybody wants to open,” the likely 2020 presidential candidate said in an interview on ABC’s “Good Morning America.”
President Donald Trump has been urging states to reopen businesses to prop up the U.S. economy, which has been ravaged by the coronavirus pandemic. —Yelena Dzhanova
8:53 am: Moderna gets FDA’s ‘fast track’ status for experimental coronavirus vaccine
Moderna’s experimental coronavirus vaccine obtained the Food and Drug Administration’s “fast track” designation, which expedites the review of treatments and vaccines meant for serious conditions, Reuters reported.
CEO Stephane Bancel told CNBC on Friday that the company anticipates working “very closely” with the U.S. government to determine who will get the first doses if the coronavirus vaccine proves to work. —Melodie Warner, Reuters
8:26 am: Global new cases, by region8:16 am: Hyatt lays off 1,300 employees
Hyatt Hotels will lay off 1,300 employees around the world as the coronavirus pandemic halts global travel, the company said late Monday, according to a report from Reuters.
The hotel chain has also cut pay for board members, senior management and all employees, Reuters reported.
“Due to the historic drop in travel demand and the expected slow pace of recovery, Hyatt has made the extremely difficult decision to implement layoffs and restructure roles across its global corporate functions, beginning June 1, 2020,” the company said in a statement.
Hyatt had 55,000 employees at the end of last year. —Sara Salinas
7:52 am: Burger King parent announces changes coming to reopened dining rooms
A member of staff wearing a face mask and gloves is seen directing cars at the Burger King drive-through in Havant, their first branch to reopen during coronavirus lockdown on May 01, 2020 in Havant, Portsmouth.
Naomi Baker | Getty Images
Restaurant Brands International, which owns Burger King, Tim Hortons and Popeyes Louisiana Kitchen, is reopening dining rooms across the country with plans to maintain socially distancing.
Signs will indicate if a table is open or closed, and customers won’t be able to use self-serve soda machines. Most of the company’s restaurants have also erected plexiglass shields, according to an open letter from CEO Jose Cil.
Nearly 1,000 of the company’s almost 15,000 dining rooms in North American Restaurant Brands locations are fully open, as of Monday. —Amelia Lucas
7:15 am: Cases will rise as states reopen, former FDA chief says
Public health officials and epidemiologists expected to see a steady decline in new U.S. cases by this month, but cases continue to rise in many states, former Food and Drug Administration Commissioner Scott Gottlieb said. He added that states that have eased restrictions, including Alabama, South Dakota and Texas, have already shown a rise in cases.
“We’re going to see cases go up now that we’re reopening,” he told CNBC’s “Squawk Box.” “You’ve seen an uptick in cases. That was expected. We know cases are going to go up as we start to resume activity.”
“The bottom line is a lot of states are now reopening activity against a backdrop that doesn’t meet the criteria that the White House set out in terms of when it would be safe to reopen,” he added. —Will Feuer
Disclosure: Scott Gottlieb is a CNBC contributor and is a member of the boards of Pfizer and biotech company Illumina.
7:10 am: WHO sees some positive data in potential treatments
In this photo illustration the World Health Organization Director General Tedros Adhanom Ghebreyesus is seen on a screen of pc and a coronavirus image displayed on a screen of a smartphone in Kiev, Ukraine.
Pavlo Gonchar | SOPA Images | Getty Images
The World Health Organization said its global “Solidarity Trial” has yielded “potentially positive data” on several treatments, according to Reuters. Some treatments included in the trial appear to limit the severity or length of Covid-19, spokeswoman Margaret Harris said at a news briefing, Reuters reported.
Treatments included in the global study include remdesivir, ritonavir, Interferon beta-1a and hydroxychloroquine.
“We do have some treatments that seem to be in very early studies limiting the severity or the length of the illness, but we do not have anything that can kill or stop the virus,” Harris said. “We do have potentially positive data coming out, but we need to see more data to be 100% confident that we can say this treatment over that one.” —Will Feuer
7 am: German economy contracted by up to 25% during outbreak’s peak, bank says
BERLIN, GERMANY – APRIL 23: German Chancellor Angela Merkel (CDU) sits at the Bundestag on April 23, 2020 in Berlin, Germany. Germany is still at the beginning of the coronavirus pandemic and will have to live with it for a long time, the Chancellor said.
German economic output probably declined by some 20-25% for several weeks due to the coronavirus outbreak, the KfW state development bank said, according to Reuters. It said that activity likely reached a trough in April, barring a second wave of infections.
Germany went into lockdown in March to contain the outbreak but started to reopen its economy in late April. Chancellor Angela Merkel announced steps to ease more restrictions but also said an “emergency brake” mechanism would be in place to re-impose restrictions if infections pick up again. —Holly Ellyatt