Trump says he has fired Defense Secretary Mark Esper

By Phil Stewart and Idrees Ali

WASHINGTON (Reuters) – U.S. President Donald Trump said on Monday that he had “terminated” Defense Secretary Mark Esper, appearing to use his final months in office after his Nov. 3 election defeat to settle scores within his administration.

Trump, who publicly split with Esper in recent months over a range of issues, said on Twitter that Christopher Miller, director of the National Counterterrorism Center, will become acting secretary of defense. The Senate would be highly unlikely to confirm any new nominee before Trump leaves office in January.

“Mark Esper has been terminated,” Trump said on Twitter. “I am pleased to announce that Christopher C. Miller, the highly respected Director of the National Counterterrorism Center (unanimously confirmed by the Senate), will be Acting Secretary of Defense, effective immediately.”

The Pentagon had no immediate comment.

Esper had long been preparing for the prospect of his resignation or dismissal following the Nov. 3 election, particularly if Trump were to win a second term in office, sources said.

Trump has steadfastly refused to acknowledge his election loss.

Esper angered Trump particularly by opposing Trump’s threat to use active duty troops to suppress street protests over racial injustice in the United States during the summer.

Esper also disagreed with Trump’s dismissive attitude toward the NATO alliance, sources said.

(Additional reporting by Daphne Psaledakis and Susan Heavey; Editing by Tim Ahmann and Cynthia Osterman)

Biden convenes U.S. pandemic task force, implores Americans to wear masks

By Simon Lewis

WILMINGTON, Del. (Reuters) – U.S. President-elect Joe Biden implored Americans on Monday to wear protective masks to combat the coronavirus pandemic, appealing to their patriotism, as he convened a task force to devise a blueprint for tackling the public health crisis.

“We could save tens of thousands of lives if everyone would just wear a mask for the next few months. Not Democratic or Republican lives. American lives,” Biden told reporters in Wilmington, Delaware. “I implore you. Wear a mask. Do it for yourself. Do it for your neighbor. A mask is not a political statement.”

The pandemic has killed more than 237,000 Americans and thrown millions out of work. Biden spoke two days after clinching election victory over Donald Trump, though the Republican president has not acknowledged defeat and is pursuing legal challenges to the results while making unfounded claims of fraud.

Biden, set to take office on Jan. 20, conferred by video with his 13-member task force, headed by former U.S. Surgeon General Vivek Murthy, former Food and Drug Administration Commissioner David Kessler and Yale University healthcare equity expert Marcella Nunez-Smith.

The president-elect labeled as “great news” Pfizer Inc’s announcement on Monday that its experimental COVID-19 vaccine was more than 90% effective. But Biden said it would be “many more months before there is widespread vaccination” in the United States and underscored the importance of wearing protective masks and social distancing.

The United States has been registering record high infection numbers in recent days. Mask wearing has become a political issue in the United States, with Trump mocking Biden for wearing a mask during the campaign and many conservatives contending masks infringe upon their individual freedom.

“The goal is to get back to normal as fast as possible,” Biden said. “And masks are critical in doing that. It won’t be forever. But that’s how we’ll get our nation back up to speed economically, so we can go back to celebrating birthdays and holidays together, so we can attend sporting events together, so that we can get back to the lives and connections we shared before the pandemic.”

Biden during the campaign accused Trump of panicking and surrendering to the pandemic. Trump promoted unproven medicines, assailed public health experts, failed to signal empathy or compassion as the death toll mounted and disregarded advice on mask wearing and social distancing, ending up hospitalized in October receiving treatments for COVID-19.

Housing Secretary Ben Carson on Monday became the latest close Trump associate to test positive for the virus, his chief of staff said, just days after White House Chief of Staff Mark Meadows also tested positive.

Pfizer and German partner BioNTech SE are the first drugmakers to release successful data from a large-scale clinical trial of a vaccine for the novel coronavirus.

Biden said his team will focus on making rapid COVID-19 testing widely available and building a corps of contact-tracers to track and curb the pathogen’s spread and prioritize vulnerable populations. Biden said his administration would work to get an approved vaccine “distributed as quickly as possible to as many Americans as possible, free of charge.”

The task force will liaise with local and state officials to consider how to safely reopen schools and businesses and tackle racial disparities.

The Biden panel includes Rick Bright, a whistleblower who says he was removed from his Trump administration post for raising concerns about coronavirus preparedness, and Luciana Borio, who specializes in complex public health emergencies.

Vice President Mike Pence is due to meet on Monday with the White House coronavirus task force for the first time since October.

Biden cleared the threshold of 270 Electoral College votes needed to win the presidency on Saturday, four days after the Nov. 3 election. He beat Trump by more than 4.3 million votes nationwide, with Trump becoming the first U.S. president since 1992 to lose a re-election bid.

TRUMP DOES NOT BUDGE

Trump has often attacked the integrity of the U.S. voting process without offering evidence. Some of his allies have encouraged him to exhaust every recourse for hanging onto power. He has filed an array of lawsuits to press his claims and plans rallies to build support for his election challenge, campaign spokesman Tim Murtaugh said.

Asked when Trump would concede or call Biden, Trump campaign adviser Jason Miller on Monday told Fox Business Network: “That word’s not even in our vocabulary now. We’re going to pursue all these legal means, all the recount methods.”

Trump has been talking with his advisers about the possibility of running for president in 2024, a source familiar with the discussions said.

Trump campaign manager Bill Stepien held an all-staff meeting at campaign headquarters on Monday to give the message that Trump is “still in this fight,” a source familiar with the meeting said. The source said the meeting was aimed at bolstering morale given that the last paycheck everyone is to receive is on Nov. 15.

Governments from around the world have congratulated Biden since Saturday, signaling they are turning the page.

Russia, which U.S. intelligence agencies have said interfered in the 2016 election to support Trump and then sought to disparage Biden in this year’s race, said on Monday it would wait for the official results before commenting, noting Trump’s legal challenges. China was similarly cautious.

(Reporting by Andy Sullivan and Andrea Shalal in Washington and Simon Lewis and Trevor Hunnicutt in Wilmington, Delaware; Additional reporting by Jason Lange, Susan Heavey, Doina Chiacu, Makini Brice, Alexandra Alper and Steve Holland in Washington and Costas Pitas in London; Writing by Will Dunham and Andy Sullivan; Editing by Scott Malone, Catherine Evans and Grant McCool)

Conservative U.S. Supreme Court prepares to hear Obamacare challenge

By Lawrence Hurley

WASHINGTON (Reuters) – The U.S. Supreme Court on Tuesday is set to hear arguments in a bid by Republican-governed states backed by President Donald Trump’s administration to strike down the Obamacare healthcare law, even as Joe Biden prepares to replace Trump in January.

Key priorities set by the Democratic president-elect included expanding healthcare access and buttressing Obamacare, the 2010 law formally called the Affordable Care Act that Republicans for years have sought to invalidate. The law was the signature domestic policy achievement of former President Barack Obama, under whom Biden served as vice president.

Although the court now has a 6-3 conservative majority bolstered by the Senate confirmation last month of Trump’s third appointee, Amy Coney Barrett, most legal experts think it would stop short of a seismic ruling striking down the law. The Supreme Court in 2012 and 2015 fended off previous Republican challenges to Obamacare.

Biden and other Democrats have criticized Republican efforts to strike down the law in the midst of a deadly coronavirus pandemic.

If Obamacare were to be struck down, up to 20 million Americans could lose their medical insurance and insurers could once again refuse to cover people with pre-existing medical conditions. Obamacare expanded public healthcare programs and created marketplaces for private insurance.

“Abolishing the Affordable Care Act would be deeply damaging to the American health care system and public health,” Georges Benjamin, executive director of the nonprofit American Public Health Association, said in a statement.

The justices will hear an expanded 80-minute oral argument by teleconference due to the pandemic.

The impetus for the Supreme Court case was a 2018 ruling by a federal judge in Texas that Obamacare as currently structured in light of a key Republican-backed change made by Congress violates the U.S. Constitution and is invalid in its entirety.

The justices in March agreed to hear an appeal filed by a coalition of Democratic-led states and the Democratic-controlled House of Representatives defending Obamacare.

They asked the justices to overturn a ruling by the New Orleans-based 5th U.S. Circuit Court of Appeals that declared that the law’s “individual mandate” that required people to obtain health insurance ran afoul of the Constitution. Republican states led by Texas and backed by Trump’s administration have asked the justices to throw out the law.

If the individual mandate is struck down “then it necessarily follows that the rest of the ACA must also fall,” Trump administration’s lawyers argued in court papers.

The Supreme Court in 2012 upheld most Obamacare provisions including the individual mandate, which required people to obtain insurance or pay a financial penalty. The court defined this penalty as a tax and thus found the law permissible under the Constitution’s provision empowering Congress to levy taxes.

In 2017, Trump signed a Republican-backed law tax that eliminated the financial penalty under the individual mandate, which gave rise to the Republican lawsuit. The tax law meant the individual mandate could no longer be interpreted as a tax provision and was therefore unlawful, the Republican challengers argued.

Democrats made the Republican threat to Obamacare a central feature of their opposition to Barrett’s confirmation to replace the late liberal Justice Ruth Bader Ginsburg.

Barrett, when she was a law professor, previously indicated she backed the challengers in the two previous Obamacare cases that reached the Supreme Court.

In recent cases with conservative justices in the majority, the court has declined to strike down an entire statute just because one part was unlawful.

“Constitutional litigation is not a game of gotcha against Congress, where litigants can ride a discrete constitutional flaw in a statute to take down the whole, otherwise constitutional statute,” conservative Justice Brett Kavanaugh, another Trump appointee, wrote in a ruling earlier this year.

(Reporting by Lawrence Hurley; Editing by Will Dunham)

President-elect Biden’s hopes for Democratic agenda hang on Georgia runoffs

By Susan Cornwell

WASHINGTON (Reuters) – President-elect Joe Biden’s hopes of enacting major Democratic priorities like expanding healthcare access, fighting climate change and providing more coronavirus aid are going to hang on a pair of U.S. Senate races in Georgia in January.

Democrats fell short of their goal of taking a Senate majority and actually lost seats in the House of Representatives, making Republicans well positioned to block major Biden legislative initiatives.

That leaves Biden’s party with the daunting task of trying to unseat two incumbent Republican senators in the traditionally Republican-leaning state, where Biden himself holds just a narrow lead over President Donald Trump as vote-counting continues.

“We take Georgia, then we change the world,” Senate Democratic Leader Chuck Schumer declared in New York on Saturday. Georgia’s Republican Governor Brian Kemp also heralded the high-stakes January voting, calling on Republicans to unite and saying “the fight is far from over.”

Republicans appear poised to hold at least 50 of the Senate’s 100 seats next year, presuming that leads in North Carolina and Alaska hold. That makes winning the two Georgia runoffs pivotal in getting control of the Senate for Democrats. Vice President-elect Kamala Harris would be able to cast the tie-breaking vote in the Senate.

Georgia Republican Senator David Perdue, who is seeking a second term, received 49.8 % of the vote, compared to Democrat Jon Ossoff, who got 47.9%.

In the other contest, Black Democrat Reverend Raphael Warnock got 32.9% to Republican Senator Kelly Loeffler’s 25.9%. A third Republican, Representative Doug Collins, failed to make the runoff after coming in third with 20%.

DEMOCRATS HAVE A CHANCE

Georgia has not elected a Democratic senator for two decades, but changing demographics and the gradually improving Democratic performances in recent contests suggest the party has a chance at winning the Jan. 5 runoffs, political scientists say.

But those odds will largely depend on keeping voters engaged, said Andra Gillespie, a professor of political science at Emory University.

“Whichever party has the better turnout operation is the one that wins,” Gillespie said.

Voter mobilization efforts have boosted Democrats’ fortunes, she said. Registration campaigns, like the one led by Stacey Abrams, who narrowly lost the governor’s race in 2018, helped register thousands. But it remains to be seen if Georgia voters will come out in January as they did for November’s election, which featured the presidential ticket.

Both Perdue and Loeffler are Trump allies. But Loeffler ran strongly to the right this year to defeat fellow Republican Collins.

She accepted an endorsement from Marjorie Taylor Greene, a Republican congresswoman-elect who has promoted the baseless pro-Trump conspiracy theory QAnon. Loeffler has posted photos with herself on Twitter with members of a private militia group, and has called the Black Lives Matter movement, which protests police violence and racial injustice, a “Marxist” group.

Amy Steigerwalt, a political science professor at Georgia State University, asked whether Loeffler’s actions might now work against her in the runoff with Warnock — and in turn pull Perdue down since both Republicans will be on the ballot at the same time.

“Will she get a boost on some level from Perdue also running? … Or is it possible that now that there is more attention given to her and given to some of the positions that she took, that (could) honestly harm both of the Republican candidates?” Steigerwalt said.

“Democratic voters in particular in the exit polls mentioned that one of the main things that caused them to turn out was racial justice,” Steigerwalt said.

BIDEN GOALS AT STAKE

Biden’s cabinet picks and policy proposals would face choppy water if Republicans maintain a Senate majority. He pledged to strengthen and build on the Obamacare healthcare program. He also campaigned on a multi-trillion-dollar plan to curb carbon emissions and create jobs, and said he favored raising taxes on corporations and wealthy individuals.

Those goals would face stiff opposition with Republicans in charge of the Senate. There would likely be hard bargaining over any additional coronavirus aid, which a number of Republicans oppose.

On the other hand Biden, a former senator who campaigned as a centrist, has known the leader of the Senate Republicans, Majority Leader Mitch McConnell for years. They have struck deals together before, including an agreement to allow tax rates to rise on the wealthy late in 2012, when Biden was vice president. Last week, McConnell referred to Biden as an “old friend.”

“Look for him to drive long-standing priorities of his like infrastructure, where he could perhaps find support from a moderate Republican or two,” said Scott Mulhauser, a Democratic strategist who worked for Biden in the 2012 presidential election.

(Additional reporting by Andy Sullivan; Editing by Scott Malone and Aurora Ellis)

China, Russia hold off on congratulating Biden; U.S. allies rally round

By Cate Cadell and Dmitry Antonov

BEIJING/MOSCOW (Reuters) – China and Russia held off congratulating U.S. President-elect Joe Biden on Monday, with Beijing saying it would follow usual custom in its response and the Kremlin noting incumbent Donald Trump’s vow to pursue legal challenges.

Democrat Biden clinched enough states to win the presidency on Saturday and has begun making plans for when he takes office on Jan. 20. Trump has not conceded defeat and plans rallies to build support for legal challenges.

Some of the United States’ biggest and closest allies in Europe, the Middle East and Asia quickly congratulated Biden over the weekend despite Trump’s refusal to concede, as did some Trump allies, including Israel and Saudi Arabia.

German Chancellor Angela Merkel on Monday called for the European Union and United States to work “side by side,” holding up Biden as an experienced leader who knows Germany and Europe well and stressing the NATO allies’ shared values and interests.

Beijing and Moscow were cautious.

“We noticed that Mr. Biden has declared election victory,” China’s foreign ministry spokesman Wang Wenbin told a daily media briefing. “We understand that the U.S. presidential election result will be determined following U.S. law and procedures.”

In 2016, Chinese President Xi Jinping sent congratulations to Trump on Nov. 9, a day after the election.

Relations between China and the United States are at their worst in decades over disputes ranging from technology and trade to Hong Kong and the coronavirus, and the Trump administration has unleashed a barrage of sanctions against Beijing.

While Biden is expected to maintain a tough stance on China — he has called Xi a “thug” and vowed to lead a campaign to “pressure, isolate and punish China” — he is likely to take a more measured and multilateral approach.

Chinese state media struck an optimistic tone in editorials, saying relations could be restored to a state of greater predictability, starting with trade.

KREMLIN NOTES TRUMP’S LAW SUITS

The Kremlin said it would wait for the official results of the election before commenting, and that it had noted Trump’s announcement of legal challenges.

President Vladimir Putin has remained silent since Biden’s victory. In the run-up to the vote, Putin had appeared to hedge his bets, frowning on Biden’s anti-Russian rhetoric but welcoming his comments on nuclear arms control. Putin had also defended Biden’s son, Hunter, against criticism from Trump.

“We think it appropriate to wait for the official vote count,” Kremlin spokesman Dmitry Peskov told reporters on a conference call.

Biden cleared the threshold of 270 Electoral College votes needed to win the White House on Saturday, four days after the Nov. 3 election. He beat Trump by more than 4 million votes nationwide, making Trump the first president since 1992 to lose re-election.

Asked why, in 2016, Putin had congratulated Trump soon after he had won the Electoral College and beaten Democrat Hillary Clinton, Peskov said there was an obvious difference.

“You can see that there are certain legal procedures that have been announced by the current president. That is why the situations are different and we therefore think it appropriate to wait for an official announcement,” he said.

Peskov noted that Putin had repeatedly said he was ready to work with any U.S. leader and that Russia hoped it could establish dialogue with a new U.S. administration and find a way to normalize troubled bilateral relations.

Moscow’s ties with Washington sank to post-Cold War lows in 2014 when Russia annexed Crimea from Ukraine. Biden was serving as vice president under President Barack Obama at the time.

Relations soured further over U.S. allegations that Moscow had meddled in the 2016 U.S. presidential election to try to tilt the vote in Trump’s favor, something the Kremlin denied.

(Additional reporting by Brenda Goh, Tony Munroe and Lusha Zhang in Beijing; Darya Korsunskaya and Gabrielle Tétrault-Farber in Moscow; Sabine Siebold in Berlin; Editing by Nick Tattersall and Catherine Evans)

‘Great day for humanity’: Pfizer says COVID-19 vaccine over 90% effective

By Michael Erman and Julie Steenhuysen

(Reuters) – Pfizer Inc’s experimental COVID-19 vaccine is more than 90% effective based on initial trial results, the drugmaker said on Monday, a major victory in the war against a virus that has killed over a million people and battered the world’s economy.

Experts welcomed the first successful interim data from a large-scale clinical test as a watershed moment that showed vaccines could help halt the pandemic, although mass roll-outs, which needs regulatory approval, will not happen this year.

Pfizer and German partner BioNTech SE said they had found no serious safety concerns yet and expected to seek U.S. authorization this month for emergency use of the vaccine, raising the chance of a regulatory decision as soon as December.

If granted, the companies estimate they can roll out up to 50 million doses this year, enough to protect 25 million people, and then produce up to 1.3 billion doses in 2021.

“Today is a great day for science and humanity,” said Pfizer Chief Executive Albert Bourla.

“We are reaching this critical milestone in our vaccine development program at a time when the world needs it most with infection rates setting new records, hospitals nearing over-capacity and economies struggling to reopen,” he said.

Experts said they still wanted to see the full trial data, which have yet to be peer-reviewed or published in a medical journal, but the preliminary results looked encouraging.

“This news made me smile from ear to ear. It is a relief to see such positive results on this vaccine and bodes well for COVID-19 vaccines in general,” said Peter Horby, professor of emerging infectious diseases at the University of Oxford.

There are still many questions, such as how effective the vaccine is by ethnicity or age, and how long it will provide immunity, with the “new normal” of social distancing and face covering set to remain for the foreseeable future.

Pfizer expects to seek U.S. emergency use authorization for people aged 16 to 85. To do so, it will need two months of safety data from about half the study’s 44,000 participants, which is expected in the third week of November.

U.S. Health and Human Services Secretary Alex Azar said it would take several weeks for U.S. regulators to receive and process data on the vaccine before the government could potentially approve it.

MARKETS SURGE

The prospect of a vaccine electrified world markets with the S&P 500 and Dow hitting record highs as shares of banks, oil companies and travel companies soared. Shares in companies that have thrived during lockdowns, such as conferencing platform Zoom Video and online retailers, tumbled.

Pfizer shares jumped more than 11% to their highest since July last year, while BioNTech’s stock hit a record high.

Shares of other vaccine developers in the final stage of testing also rose with Johnson & Johnson up 4% and Moderna Inc, whose vaccine uses a similar technology as the Pfizer shot, up 8%. Britain’s AstraZeneca, however, fell 2%. Moderna is expected to report results from its large-scale trial later this month.

“The efficacy data are really impressive. This is better than most of us anticipated,” said William Schaffner, infectious diseases expert at Vanderbilt University School of Medicine in Nashville, Tennessee. “The study isn’t completed yet, but nonetheless the data look very solid.”

U.S. President Donald Trump welcomed the test results, and the market boost: “STOCK MARKET UP BIG, VACCINE COMING SOON. REPORT 90% EFFECTIVE. SUCH GREAT NEWS!” he tweeted.

President-elect Joe Biden said the news was excellent but did not change the fact that face masks, social distancing and other health measures would be needed well into next year.

The World Health Organization said the results were very positive, but warned there was a funding gap of $4.5 billion that could slow access to tests, medicines and vaccines in low- and middle-income countries.

‘NEAR ECSTATIC’

“I’m near ecstatic,” Bill Gruber, one of Pfizer’s top vaccine scientists, said in an interview. “This is a great day for public health and for the potential to get us all out of the circumstances we’re now in.”

Between 55% and 65% of the population will need to be vaccinated to break the dynamic of the spread of COVID-19, said Germany’s health minister Jens Spahn, adding that he did not expect a shot to be available before the first quarter of 2021.

The European Union said on Monday it would soon sign a contract for up to 300 million doses of the Pfizer and BioNTech COVID-19 vaccine.

The companies have a $1.95 billion contract with the U.S. government to deliver 100 million vaccine doses beginning this year. They did not receive research funding from the Trump administration’s Operation Warp Speed vaccine program.

The drugmakers have also reached supply agreements with the United Kingdom, Canada and Japan.

Pfizer said the interim analysis, conducted after 94 participants in the trial developed COVID-19, examined how many had received the vaccine versus a placebo.

Pfizer did not break down how many of those who fell ill received the vaccine. Still, over 90% effectiveness implies that no more than 8 of the 94 had been given the vaccine, which was administered in two shots about three weeks apart.

The efficacy rate, which could drop once full results are available, is well above the 50% effectiveness required by the U.S. Food and Drug Administration for a coronavirus vaccine.

Shortly after Pfizer’s announcement, Russia said its Sputnik V vaccine was also more than 90% effective, based on data collated from inoculations of the public. Its preliminary Phase III trial data is due to be published this month.

MORE DATA NEEDED

To confirm the efficacy rate, Pfizer said it would continue its trial until there were 164 COVID-19 cases among volunteers. Bourla told CNBC on Monday that based on rising infection rates, the trial could be completed before the end of November.

Pfizer said its data would be peer reviewed once it has results from the entire trial.

“These are interesting first signals, but again they are only communicated in press releases,” said Marylyn Addo, head of tropical medicine at the University Medical Center Hamburg-Eppendorf in Germany.

Dozens of drugmakers and research groups around the globe have been racing to develop vaccines against COVID-19, which on Sunday exceeded 50 million cases since the new coronavirus first emerged late last year in China.

The Pfizer and BioNTech vaccine uses messenger RNA (mRNA) technology, which relies on synthetic genes that can be generated and manufactured in weeks, and produced at scale more rapidly than conventional vaccines. The technology is designed to trigger an immune response without using pathogens, such as actual virus particles.

The Trump administration has said it will have enough vaccine doses for all of the 330 million U.S. residents who want it by the middle of 2021.

(Reporting by Michael Erman and Julie Steenhuysen; Additional reporting by Michele Gershberg in New York, Ludwig Burger and Patricia Weiss in Frankfurt and Kate Kelland in London; Editing by Bill Berkrot, Caroline Humer, Edwina Gibbs and David Clarke)

U.S. crosses 10 million COVID-19 cases as third wave of infections surges

By Anurag Maan and Shaina Ahluwalia

(Reuters) – The United States became the first nation worldwide since the pandemic began to surpass 10 million coronavirus infections, according to a Reuters tally on Sunday, as the third wave of the COVID-19 virus surges across the nation.

The grim milestone came on the same day as global coronavirus cases exceeded 50 million.

The United states has reported about a million cases in the past 10 days, the highest rate of infections since the nation reported its first novel coronavirus case in Washington state 293 days ago.

The country reported a record 131,420 COVID-19 cases on Saturday and has reported over 100,000 infections five times in the past seven days, according to a Reuters tally.

The U.S. latest reported seven-day average of 105,600 daily cases, ramped up by at least 29%, is more than the combined average for India and France, two of the worst affected countries in Asia and Europe.

More than 237,000 Americans have died of COVID-19 since the illness caused by the coronavirus first emerged in China late last year.

The daily average of reported new deaths in the United States account for one in every 11 deaths reported worldwide each day, according to a Reuters analysis.

The number of reported deaths nationwide climbed by more than 1,000 for a fifth consecutive day on Saturday, a trend last seen in mid-August, according to a Reuters tally.

Health experts say deaths tend to increase four to six weeks after a surge in infections.

U.S. President-elect Joe Biden, who spent much of his election campaign criticizing President Donald Trump’s handling of the pandemic, pledged on Saturday to make tackling the pandemic a top priority.

Biden will announce a 12-member task force on Monday to deal with the pandemic that will be led by former surgeon general Vivek Murthy and former Food and Drug Administration commissioner David Kessler. The coronavirus task force will be charged with developing a blueprint for containing the disease once Biden takes office in January.

The Midwest remains the hardest-hit region based on the most cases per capita with North Dakota, South Dakota, Wisconsin, Iowa and Nebraska the top five worst-affected U.S. states.

Illinois emerged as the new epicenter in the Midwest, with the state reporting over 60,000 COVID-19 infections in the last seven days, the highest in the country, according to Reuters data. The state reported more than 12,454 new cases on Saturday, the highest single-day number so far.

Texas, which accounts for 10% of total U.S. cases, is the hardest-hit state and became the first to surpass a million coronavirus cases in the United States on Saturday.

According to a Reuters analysis, the South region comprises nearly 43% of all the cases in the United States since the pandemic began, with nearly 4.3 million cases in the region alone, followed by the Midwest, West and Northeast.

New York, with over 33,000 fatalities, remains the state with highest number of deaths and accounts for about 14% of total U.S. deaths.

The United States performed about 10.5 million coronavirus tests in the first seven days of November, of which 6.22% came back positive, compared with 6.17% the prior seven-days, according to data from The COVID Tracking Project, a volunteer-run effort to track the outbreak.

(Reporting by Anurag Maan and Shaina Ahluwalia in Bengaluru; Editing by Diane Craft and Michael Perry)

Trump replaces Republican head of energy regulatory panel who supports carbon markets

WASHINGTON (Reuters) – President Donald Trump demoted Neil Chatterjee, the Republican head of an energy regulation panel, after he promoted the use of carbon markets by U.S. states to curb climate change.

Trump replaced Chatterjee, who had been chairman of the Federal Energy Regulatory Commission, or FERC, with fellow Republican James Danly, who had been a commissioner, Chatterjee said on Twitter late Thursday.

If Joe Biden becomes president it is likely he would quickly name a Democratic FERC chair.

Last month Chatterjee had promoted putting a price on carbon emissions, an idea backed by many former Republican politicians and leading companies as a way to lower emissions of pollutants scientists say are warming the planet.

The White House did not immediately respond to a request for comment.

Carbon pricing has struggled to gain support in the U.S. Congress and in the administration of Trump, who doubts climate science and wants to cut costs on coal, oil and natural gas.

In a proposed policy statement on Oct. 15 Chatterjee said that carbon pricing by U.S. states is an “important market-based tool that has wide support from across sectors.” He also held a conference exploring how a carbon tax would world in power markets.

Josh Price, an analyst at Height Capital Markets, said in a note to clients that the proposed blessing for state-led carbon pricing schemes was a “direct threat to coal.”

Chatterjee’s term was due to end on June 30, and he said he would serve out the rest of that as a commissioner. He once worked on pro-fossil-fuel policies as an aide to Senate Majority Leader Mitch McConnell of coal-producing Kentucky.

FERC, an independent panel of the Energy Department, regulates the transmission of electricity and natural gas across states and reviews large energy projects.

Chatterjee told the Washington Examiner that his demotion was “perhaps” because he has supported carbon markets and that if the demotion was retribution, he was proud of his independence.

Danly said in a statement that Chatterjee had left his mark on FERC by brokering an agreement on terminals for natural gas exports and taking other actions to help “secure our American energy independence.”

(Reporting by Timothy Gardner in Washington; Editing by Matthew Lewis and Cynthia Osterman)

Georgia state likely to go through recount in presidential election, secretary of state says

By Simon Lewis and Daphne Psaledakis

WASHINGTON (Reuters) – Georgia’s secretary of state on Friday said he expects a recount due to the small margin for the presidential election in the battleground state, where Democrat Joe Biden has a small lead over Republican President Donald Trump.

The presidential candidates each had 49.4% of counted ballots, though Biden was ahead by 1,579 votes as of Friday morning with 4,169 left to count, Georgia’s voting system implementation manager, Gabriel Sterling, said.

“With a margin that small, there will be a recount,” Brad Raffensperger, Georgia’s secretary of state, told reporters.

Officials said about 9,000 military and overseas ballots were still outstanding and could be accepted if they arrive on Friday and are postmarked on Tuesday or earlier.

There are two ways of seeking a recount in Georgia. A presidential candidate who loses by 0.5% of the vote or less can force a recount by sending a written request to the secretary of state, or a candidate can ask the secretary of state to conduct one by alleging a “discrepancy or error” in the vote tabulation. In that case, state law gives the secretary discretion about whether to conduct a recount.

Local election officials in Georgia also can conduct recounts in their counties if they think there is a discrepancy in the results.

The Southern state switched to new touch-screen voting machines this year. After a voter makes their choices, the machine produces a marked paper ballot that’s fed into a scanner that counts the vote.

Absentee voters – hundreds of thousands this year – filled out the same ballots, which also were fed into the scanners. If the scanner cannot read the ballot, a bipartisan group of election officials reviews it to determine whether or how it should be counted.

A recount essentially repeats that process, and in the past has not made big changes in the results.

Because of that, a recount is considered unlikely to have a big effect on the state’s vote totals.

(Reporting by Simon Lewis, Daphne Psaledakis and Brad Heath; Editing by Chizu Nomiyama and Jonathan Oatis)

Biden close to U.S. election victory as a defiant Trump vows to fight

By Trevor Hunnicutt, Steve Holland and Joseph Ax

WILMINGTON, Del./WASHINGTON (Reuters) – Democrat Joe Biden edged closer to winning the White House on Friday, expanding his narrow leads over President Donald Trump in the battleground states of Pennsylvania and Georgia even as Republicans sought to raise $60 million to fund lawsuits challenging the results.

Trump remained defiant, vowing to press unfounded claims of fraud as a weary, anxious nation waited for clarity in an election that only intensified the country’s deep polarization.

On the fourth day of vote counting, former Vice President Biden had a 253 to 214 lead in the state-by-state Electoral College vote that determines the winner, according to Edison Research.

Securing Pennsylvania’s 20 electoral votes would put Biden over the 270 he needs to win the presidency after a political career stretching back nearly five decades.

Biden would also win if he prevails in two of the three other key states where he was narrowly ahead on Friday: Georgia, Arizona and Nevada. Like Pennsylvania, all three were still processing ballots on Friday.

As Biden’s lead grew in Pennsylvania, hundreds of Democrats gathered outside Philadelphia’s downtown vote-counting site, wearing yellow shirts reading “Count Every Vote.” In Detroit, a crowd of Trump supporters, some armed, protested outside a counting location, waving flags and chanting, “Fight!”

Biden planned to deliver a prime-time address on Friday, according to two people familiar with his schedule. His campaign expected that could be a victory speech if television networks call the race for him in the coming hours.

Meanwhile, Trump showed no sign he was ready to concede, as his campaign pursued a series of lawsuits that legal experts said were unlikely to alter the election outcome.

“From the beginning we have said that all legal ballots must be counted and all illegal ballots should not be counted, yet we have met resistance to this basic principle by Democrats at every turn,” he said in a statement released by his campaign.

“We will pursue this process through every aspect of the law to guarantee that the American people have confidence in our government,” Trump said.

Trump earlier leveled an extraordinary attack on the democratic process, appearing at the White House on Thursday evening to falsely claim the election was being “stolen” from him. Election officials across the nation have said they are unaware of any significant irregularities.

The Republican National Committee is looking to collect at least $60 million from donors to fund Trump’s legal challenges, two sources familiar with the matter said.

In both Pennsylvania and Georgia, Biden overtook Trump as officials processed thousands of mail-in ballots that were cast in urban Democratic strongholds including Philadelphia and Atlanta.

The number of Americans voting early and by mail this year surged due to the coronavirus as people tried to avoid large groups of voters on Election Day. The methodical counting process has left Americans waiting longer than they have since the 2000 election to learn the winner of a presidential contest.

A sense of grim resignation settled in at the White House on Friday, where the president was monitoring TV and talking to advisers on the phone. One adviser said it was clear the race was tilting against Trump, but that Trump was not ready to admit defeat.

The campaign’s general counsel, Matt Morgan, asserted in a statement on Friday that the elections in Georgia, Nevada and Pennsylvania all suffered from improprieties and that Trump would eventually prevail in Arizona.

He also said the campaign expected to pursue a recount in Georgia, as it has said it will do in Wisconsin, where Biden won by more than 20,000 votes. A margin that wide has never been overturned by a recount, according to Edison Research.

Georgia officials said on Friday they expect a recount, which can be requested by a candidate if the final margin is less than 0.5%, as it currently is.

Biden expressed confidence on Thursday he would win and urged patience. In response to the idea that Trump might not concede, Biden spokesman Andrew Bates said in a statement on Friday, “The United States government is perfectly capable of escorting trespassers out of the White House.”

BIDEN MOMENTUM

The messy aftermath capped a vitriolic campaign that underscored the country’s enduring racial, economic and cultural divides, and if he wins Biden might face a difficult task governing in a divided Washington.

Republicans could keep control of the U.S. Senate pending the outcome of four undecided Senate races, including two in Georgia that will be likely decided in January runoffs, and they would likely block large parts of his legislative agenda, including expanding healthcare and fighting climate change.

The heated campaign unfolded amid the pandemic that has killed more than 235,000 people in the United States and left millions more out of work. The country has also been grappling with the aftermath of months of protests over racism and police brutality.

In Pennsylvania, Biden moved ahead of Trump for the first time and had a lead of 13,558 votes by midday Friday, while in Georgia, he was 1,579 votes ahead. Both margins were expected to grow as additional ballots were tallied. Pennsylvania officials estimated on Friday they had 40,000 ballots left to count, while Georgia officials said on Friday morning there were around 4,000 regular ballots remaining.

Biden, 77, would be the first Democrat to win Georgia since fellow Democrat Bill Clinton in 1992.

In Arizona, where officials said at least 142,000 uncounted ballots remained, Biden’s lead was at 41,302 votes. His margin in Nevada, where there were 63,000 mail-in ballots left to count, jumped to 20,352.

Pennsylvania, one of three traditionally Democratic states that handed Trump his 2016 victory, had long been seen as crucial to the 2020 race, and both candidates lavished enormous sums of money and time on the “Rust Belt” state.

While many rural areas in Pennsylvania remain in favor of Trump, Democrats are strong in big cities such as Pittsburgh and Philadelphia.

Trump, 74, has sought to portray as fraudulent the slow counting of mail-in ballots. He has unleashed a series of social media posts baselessly claiming fraud, prompting Twitter and Facebook to append warning labels.

States have historically taken time after Election Day to tally all votes, although in most presidential elections the gap between candidates is big enough that television networks project the winner and the losing candidate concedes before counting formally ends.

(Reporting by Trevor Hunnicutt in Wilmington, Delaware and Steve Holland in Washington; Additional reporting by Jarrett Renshaw in Philadelphia; Michael Martina in Detroit; and John Whitesides, Steve Holland, Simon Lewis and Daphne Psaledakis in Washington; Writing by Joseph Ax; Editing by Scott Malone and Alistair Bell)