Health officials confirm first U.S. case of China coronavirus, expand screening

By Julie Steenhuysen

(Reuters) – A U.S. resident who recently traveled to China has been diagnosed with the newly identified coronavirus that has sickened more than 300 people and killed at least six in China, the U.S. Centers for Disease Control and Prevention (CDC) said on Tuesday.

The U.S. patient is responding well to treatment and was not severely ill, CDC and Washington State health officials said.

CDC officials said the agency is preparing for more U.S. cases of the coronavirus that originated in the Chinese city of Wuhan, and raised its travel alert for Wuhan to a level 2, calling for enhanced precautions. Under that alert level, the CDC recommends travelers to Wuhan should avoid contact with sick people, animals or animal markets.

“We do expect additional cases in the United States and globally,” Dr. Nancy Messonnier, a CDC respiratory diseases expert said on a conference call with reporters.

CDC officials said they have begun tracking down individuals who came in contact with the patient to check them for symptoms.

Last week, the CDC began screening travelers from China at U.S. airports in New York, Los Angeles and San Francisco. On Tuesday, the agency said it will expand screening for the virus to the Hartsfield-Jackson International Airport in Atlanta and O’Hare International Airport in Chicago.

Besides the United States, cases outside of China have been reported in South Korea, Thailand and Japan.

“I don’t think looking at what we know so far that this it on the scale of SARS and MERS, the two most significant coronavirus outbreaks that we know from history,” Dr. Amesh Adalja, from the Johns Hopkins University Center for Health Security, said in a phone interview.

“It is early days in this outbreak and we don’t have a good handle on the severity of illness,” Adalja added.

On the call, CDC officials said they have screened more than 1,200 passengers since Jan. 17. None of them have been sent on for additional testing.

The U.S. traveler from Washington state had returned on Jan. 15, arriving at Seattle-Tacoma International Airport, which is not on the U.S. list for enhanced screening.

The patient sought care at a medical facility in Everett, Washington, and was treated for the illness. Based on his travel history and symptoms, healthcare professionals suspected the new coronavirus.

Specimens were taken from the patient and sent to the CDC for testing. The agency said it has developed a new test that allowed it to identify the presence of the virus in a traveler.

Washington state health officials said they are taking steps to protect the public and continue to believe the risk is low. Healthcare personnel are taking precautions to prevent the infection from spreading to hospital staff, they added.

As is often the case, preliminary information suggests older adults with underlying health conditions may be at increased risk of severe disease, CDC’s Messonnier said.

The agency is working with health officials in China and globally to better understand the virus and any potential treatments.

Messonnier confirmed that the CDC is working with the U.S. National Institutes of Health to develop diagnostics and a vaccine. U.S. officials have said it could take at least a year of testing before any vaccine could be used on the public.

(Reporting by Manas Mishra in Bengaluru and Julie Steenhuysen in Chicago; Editing by Bill Berkrot)

Oil, safe havens surge as U.S. strikes kill Iranian commander

By Herbert Lash and Marc Jones

NEW YORK/LONDON (Reuters) – Oil prices surged as much as $3 a barrel as gold, the yen and safe-haven bonds all rallied on Friday after the U.S. killing of Iran’s top military commander in an air strike in Iraq ratcheted up tensions between Washington and Tehran.

Traders were spooked after the death of Major General Qassem Soleimani, head of the elite Quds Force who was also one of Iran’s most influential figures, and by Iranian Supreme Leader Ayatollah Ali Khamenei’s vow of revenge.

Mideast-focused oil markets saw the most dramatic moves, with Brent oil futures leaping as much 4.5% to $69.20 a barrel. That was the highest since the attacks on Saudi crude facilities in September, though the impact hit almost every asset class.

Europe’s broad STOXX 600 index fell as much as 1% and shares on Wall Street almost the same as New Year optimism, which had pushed equity markets to new records, evaporated.

The yen rose half a percent against the dollar to a two-month high, the Swiss franc hit its highest against the euro since September and gold prices  climbed to a four-month peak, racing past the key $1,550 an ounce level.

“Geopolitics has come back to the table, and this is something that could have major cross-asset implications,” said Salman Ahmed, Lombard Odier’s chief investment strategist.

“What is critical is how it pans out in the next few days,” Ahmed said. “Whether it turns into a theme depends on Iran’s reaction and then the U.S. response.”

Iran promised harsh revenge. Soleimani’s Quds Force and its paramilitary proxies, ranging from Lebanon’s Hizbollah to the PMF in Iraq, have ample means to mount a response.

In September, U.S. officials blamed Iran for attacking the oil installations of Saudi Aramco, the state energy giant and the world’s largest oil exporter. Iran has denied responsibility for the strikes and accused Washington of war-mongering.

The Trump administration then did not respond, beyond heated rhetoric and threats, and markets settled down within a week after Brent surged 14.6%, its biggest one-day percentage gain since at least 1988.

The U.S. government and others on Friday urged their citizens in the region either to return home or to stay away from potential targets and public gatherings.

U.S. Secretary of State Mike Pompeo said in a round of TV interviews that the United States remained committed to de-escalation with Iran but that it had needed to defend itself.

“He (Soleimani) was actively plotting in the region to take actions – a big action as he described it – that would have put dozens if not hundreds of American lives at risk. We know it was imminent,” Pompeo told CNN.

MSCI’s gauge of stocks across the globe shed 0.43%, while its emerging markets index lost 0.32%.

On Wall Street, the Dow Jones Industrial Average  fell 210.81 points, or 0.73%, to 28,657.99. The S&P 500  lost 18.86 points, or 0.58%, to 3,238.99 and the Nasdaq Composite <.IXIC> dropped 58.26 points, or 0.64%, to 9,033.93.

The global gauge and Wall Street indices set record closing highs on Thursday, extending the year-end rally in equities.

Brent  hit a peak of $69.50 a barrel, its highest since mid-September, though it later traded up $2.40 to $68.65.

West Texas Intermediate  crude  rose $2.20 to $63.38 a barrel, after earlier spiking to $64.09 a barrel, its highest since April 2019.

SCRAMBLE TO SAFETY

Yields on German Bunds and U.S. Treasuries – the world’s benchmark government bonds that are typically seen as the safest assets – fell sharply.

 

The 10-year Bund  yield fell 7 basis points to a two-week low of -0.299%, while Bund futures  were up 0.51 percent, at 172.13 euros.

Benchmark 10-year Treasury notes rose 23/32 in price to yield 1.802%, from 1.882% late on Monday.

The dollar index fell 0.08%, with the euro up 0.06% to $1.1177. The Japanese yen  strengthened 0.59% versus the greenback at 107.94 per dollar.

The focus on geopolitics meant markets paid little attention to stronger-than-expected data from France, where inflation rose 1.6% year-on-year in December, beating analysts’ expectations for a 1.4% rise.

German inflation figures were also higher, although unemployment in Europe’s largest economy rose more than expected.

The U.S. manufacturing sector contracted in December by the most in more than a decade, with order volumes crashing to near an 11-year low and factory employment falling for a fifth straight month, the Institute for Supply Management said.

Investors also were looking forward to the minutes of the U.S. Federal Reserve’s Dec. 10-11 meeting due at 2 p.m. (1900 GMT).

(Reporting by Herbert Lash, additional reporting by Sujata Rao and Dhara Ranasinghe in London and Diptendu Lahiri in Bengaluru; Editing by Dan Grebler)

Turkey’s Erdogan may call off U.S. trip after Congress votes: officials

Turkey’s Erdogan may call off U.S. trip after Congress votes: officials
By Orhan Coskun and Dominic Evans

ANKARA (Reuters) – President Tayyip Erdogan may call off a visit to Washington next week in protest at votes in the House of Representatives to recognize mass killings of Armenians a century ago as genocide and to seek sanctions on Turkey, three Turkish officials said.

Erdogan is due in Washington on Nov. 13 at President Donald Trump’s invitation, but said last week that the votes put a “question mark” over the plans.

“These steps seriously overshadow ties between the two countries. Due to these decisions, Erdogan’s visit has been put on hold,” a senior Turkish official said, adding that a final decision had not been taken.

Turkish sources say Trump and Erdogan have a strong bond despite anger in Congress over Turkey’s Syria offensive and its purchase of Russian air defenses, and despite what Ankara sees as Trump’s own erratic pronouncements.

Those personal ties could be crucial given NATO member Turkey’s purchase of Moscow’s S-400 missile defense system, which under U.S. law should trigger sanctions.

Turkey is already suspended from the F-35 fighter jet program in which it was both joint producer and customer, and the offensive it launched against Kurdish forces in northeast Syria on Oct. 9 set the stage for further U.S. retaliation.

Although Trump appeared to clear the way for the incursion by withdrawing troops, the White House briefly imposed sanctions before lifting them after a deal to halt the fighting and clear the Kurdish fighters from the border.

Then, two weeks after that deal, the Congressional votes infuriated Turkey once more.

‘POLITICAL TIMING’

Turkey accepts that many Armenians living in the Ottoman Empire were killed in clashes with Ottoman forces during World War One, but contests the figures and denies that the killings were orchestrated or constitute genocide.

“They took advantage of the current political climate against Turkey in Washington to pass this resolution,” a source close to the presidency said. Like the other officials, he spoke on condition of anonymity.

Trump has expressed sympathy for Turkey over its purchase of Russian defense systems, blaming his predecessor for not selling Ankara U.S. Patriot missiles. His eagerness to pull U.S. forces out of Syria also aligned with Erdogan’s plan to send troops across the border to drive back the Kurdish YPG.

However, last month Trump threatened to “obliterate” Turkey’s economy, and Trump sent Erdogan a letter on the day the offensive started warning him he could be responsible for “slaughtering thousands of people”.

“Don’t be a tough guy. Don’t be a fool!” Trump wrote.

A Turkish security official cited Trump’s letter, along with the votes in Congress, as damaging: “If the atmosphere doesn’t change, there won’t be any point to this visit”.

Erdogan himself said three weeks ago he could no longer keep up with Trump’s blizzard of tweets.

Still, for Ankara, Trump remains the best hope of salvaging a partnership between two countries that, despite their difficulties, want to quadruple their annual trade to $100 billion.

“The two leaders have a good relationship,” the source close to the presidency said. “President Trump wants to have good relations with Turkey in spite of his own establishment.”

(Editing by Kevin Liffey)

North Korea breaks off nuclear talks with U.S. in Sweden

By Johan Ahlander and Philip O’Connor

STOCKHOLM (Reuters) – Working-level nuclear talks in Sweden between officials from Pyongyang and Washington have broken off, North Korea’s top negotiator said late on Saturday, dashing prospects for an end to months of stalemate.

The talks, at an isolated conference center on the outskirts of Stockholm, were the first such formal discussion since U.S. President Donald Trump and North Korean leader Kim Jong Un met in June and agreed to restart negotiations that stalled after a failed summit in Vietnam in February.

The North’s chief nuclear negotiator, Kim Myong Gil, who spent much of the day in talks with an American delegation, cast the blame on what he portrayed as U.S. inflexibility, saying the other side’s negotiators would not “give up their old viewpoint and attitude.”

“The negotiations have not fulfilled our expectation and finally broke off,” Kim told reporters outside the North Korean embassy, speaking through an interpreter.

The U.S. State Department said Kim’s comments did not reflect “the content or spirit” of more than 8-1/2 hours of talks, and Washington had accepted Sweden’s invitation to return for more discussions with Pyongyang in two weeks.

“The U.S. brought creative ideas and had good discussions with its DPRK counterparts,” spokeswoman Morgan Ortagus said in a statement. North Korea is also known as the Democratic People’s Republic of Korea (DPRK).

She said the U.S. delegation had previewed a number of new initiatives that would pave the way for progress in the talks, and underscored the importance of more intensive engagement.

“The United States and the DPRK will not overcome a legacy of 70 years of war and hostility on the Korean peninsula through the course of a single Saturday,” she added.

“These are weighty issues, and they require a strong commitment by both countries. The United States has that commitment.”

North Korea’s Kim downplayed the U.S. gestures.

“The U.S. raised expectations by offering suggestions like a flexible approach, new method and creative solutions, but they have disappointed us greatly and dampened our enthusiasm for negotiation by bringing nothing to the negotiation table,” he said.

Swedish broadcaster TV4 said the U.S. Special Representative for North Korea, Stephen Biegun, who led the team, had arrived back at the U.S. embassy in central Stockholm.

The Swedish foreign office declined to give details on the invitation for new talks, or whether Pyongyang had accepted.

Since June, U.S. officials had struggled to persuade North Korea, which is under sanctions banning much of its trade, due to its nuclear program, to return to the table, but that appeared to change this week when the North abruptly announced it had agreed to talks.

On Saturday, negotiator Kim accused the United States of having no intention of solving difficulties through dialogue, but said a complete denuclearization of the Korean peninsula was still possible.

It would only happen “when all the obstacles that threaten our safety and check our development are removed completely without a shadow of doubt,” he said, in an apparent reference to North Korea’s desire for Washington to ease economic pressure.

On Sunday, China’s President Xi Jinping and the North’s leader exchanged messages to reaffirm the neighbors’ relationship on the 70th anniversary of the establishment of diplomatic ties. China is the North’s only major ally.

Xi, who has met Kim five times in the past year, said they had “reached a series of important consensuses, leading China-North Korea relations into a new historical era”, the official Xinhua news agency said.

Kim replied the two leaders would “resolutely safeguard the peace and stability of the Korean peninsula and the world,” Xinhua reported.

TENSIONS

The delegation from North Korea arrived in Sweden on Thursday. Analysts have said both countries’ leaders had growing incentives to reach a deal, but it was unclear if common ground could be found after months of tension and deadlock.

The readout from the talks did not sound very promising, said Jenny Town, a managing editor at 38 North, a Washington-based North Korea project.

“I think (North Korea’s) expectations were too high that the removal of Bolton would provide more flexibility on what the U.S. wants as initial steps,” she said, referring to Trump’s hardline former aide John Bolton, abruptly fired last month amid disagreements on how to tackle foreign policy challenges.

“While certainly it removes some pressure for an all or nothing deal, it seems the gap between what the two sides want as a baseline and are willing to reciprocate still has not narrowed,” Town added.

An official at South Korea’s presidential office said the talks in Sweden were nevertheless the beginning of negotiations, and that South Korea hoped the United States and North Korea would keep the momentum of the dialogue.

Only a day after announcing the new talks, North Korea said it had test-fired a new ballistic missile designed for submarine launch, underscoring the need for Washington to move quickly to negotiate limits on Pyongyang’s growing arsenal.

Speaking in Athens on a tour of southern Europe while the talks were still underway, U.S. Secretary of State Mike Pompeo had said he was hopeful of progress.

“We are mindful this will be the first time that we’ve had a chance to have a discussion in quite some time and that there remains to be a lot of work that will have to be done by the two teams,” he told a news conference.

(Reporting by Anna Ringstrom, Johan Ahlander, Simon Johnson, Niklas Pollard and Philip O’Connor in Stockholm; Additional reporting by David Brunnstrom and Michele Kambas in Athens, Joori Roh and Ju-min Park in Seoul, Andrea Shalal and Julia Harte in Washington, Huizhong Wu and Hallie Gu in Beijing; Writing by Niklas Pollard; Editing by Clarence Fernandez; Editing by Christopher Cushing)

China, U.S. to hold trade talks in October; Beijing says phone call went well

FILE PHOTO: Chinese and U.S. flags flutter near The Bund, before U.S. trade delegation meet their Chinese counterparts for talks in Shanghai, China July 30, 2019. REUTERS/Aly Song/File Photo/File Photo

BEIJING (Reuters) – China and the United States on Thursday agreed to hold high-level trade talks in early October in Washington, amid fears that an escalating trade war could trigger a global economic recession.

The talks were agreed to in a phone call between Chinese Vice Premier Liu He and U.S. Trade Representative Robert Lighthizer and U.S. Treasury Secretary Steven Mnuchin, China’s commerce ministry said in a statement on its website. China’s central bank governor Yi Gang was also on the call.

“Both sides agreed that they should work together and take practical actions to create good conditions for consultations,” the ministry said.

“Lead negotiators from both sides had a really good phone call this morning,” ministry spokesman Gao Feng said in a weekly briefing. “We’ll strive to achieve substantial progress during the 13th Sino-U.S. high-level negotiations in early October.”

Gao also said Beijing opposes any escalation in the trade war.

Trade teams from the two countries will hold talks in mid-September before the high-level talks next month, the ministry said.

A spokesman for the U.S. Trade Representative’s office confirmed that Lighthizer and Mnuchin spoke with Liu and said they agreed to hold ministerial-level trade talks in Washington “in the coming weeks”.

News of the early October talks lifted most Asian share markets on Thursday, raising hopes these can de-escalate the U.S.-China trade war before it inflicts further damage on the global economy.

On Sunday, Washington began imposing 15% tariffs on an array of Chinese imports, while China began placing duties on U.S. crude oil. China said on Monday it had lodged a complaint against the United States at the World Trade Organization.

The United States plans to increase the tariff rate to 30% from the 25% duty already in place on $250 billion worth of Chinese imports from Oct. 1.

U.S. President Donald Trump had warned on Tuesday he would be tougher on Beijing in a second term if trade talks dragged on, compounding market fears that disputes between the United States and China could trigger a U.S. recession.

Chinese leaders will have a packed schedule next month, gearing up for National Day celebrations scheduled for Oct. 1.

They will also hold a key meeting in October to discuss improving governance and “perfecting” the country’s socialist system, state media has said.

(Reporting by Kevin Yao, Yawen Chen and Beijing Monitoring Desk; Editing by Paul Tait and Richard Borsuk)

Trump says won’t deal with UK ambassador after leak of ‘inept’ memos

Britain's ambassador to the United States Kim Darroch (C) listens as U.S. President Donald Trump and British Prime Minister Theresa May hold a joint news conference at the White House in Washington, U.S., January 27, 2017. REUTERS/Carlos Barria

By Michael Holden and William James

LONDON (Reuters) – Donald Trump said he would not deal with Britain’s ambassador to Washington after a leak of confidential memos in which the diplomat described the U.S. president’s administration as “inept”.

Trump also attacked Britain’s outgoing Prime Minister Theresa May, who had said her government had full confidence in ambassador Kim Darroch, criticizing her handling of Brexit and saying she disregarded his advice.

“What a mess she and her representatives have created,” he wrote on Twitter. “I do not know the Ambassador, but he is not liked or well thought of within the U.S. We will no longer deal with him. The good news for the wonderful United Kingdom is that they will soon have a new Prime Minister.”

The spat between the two close allies followed the leak to a British newspaper on Sunday of memos from Darroch to London in which he said Trump’s administration was “dysfunctional” and “diplomatically clumsy and inept”.

May’s spokesman said while Darroch’s opinions did not reflect the view of the government or ministers, he said the diplomat had London’s backing and ambassadors needed to have the confidence to give their frank assessments.

“Contact has been made with the Trump administration, setting out our view that we believe the leak is unacceptable,” May’s spokesman told reporters. “It is, of course, a matter of regret that this has happened.”

May is also due to leave office before the end of the month and has previously clashed with Trump over a number of issues from Brexit to the Iran nuclear deal.

However, the timing of the discord comes as Britain is hoping to strike a major trade deal with its closest ally after it leaves the European Union, an exit scheduled for Oct. 31.

The two contenders to replace May, former London mayor Boris Johnson and foreign minister Jeremy Hunt, have both indicated they could support leaving the EU without a deal, making a future agreement with the United States even more important.

Trade minister Liam Fox, who was visiting Washington this week, said he would apologize to Trump’s daughter Ivanka whom he was due to meet during his trip.

‘SERIOUS CONSEQUENCES’ FOR LEAKER

In confidential memos to his government dating from 2017 to the present, Darroch had said reports of in-fighting in the White House were “mostly true” and last month described confusion within the administration over Trump’s decision to call off a military strike on Iran.

“We don’t really believe this Administration is going to become substantially more normal; less dysfunctional; less unpredictable; less faction driven; less diplomatically clumsy and inept,” Darroch wrote in one cable.

British officials have launched an inquiry to find out who was responsible for the leak and foreign minister Hunt promised “serious consequences” for whoever was responsible.

He told the Sun newspaper that the inquiry would consider whether the memos had been obtained by hacking by a hostile state such as Russia although he said he had seen no evidence for this.

Asked whether British spies would join in the hunt, Jeremy Fleming, the head of the GCHQ intelligence agency, told BBC radio: “I can&rsquo;t get into the detail of the investigation. If they require our services then GCHQ will help.”

Christopher Meyer, a former British ambassador to Washington, said there was a “possible range of villains”.

“It was clearly somebody who set out deliberately to sabotage Sir Kim’s ambassadorship, to make his position untenable and to have him replaced by somebody more congenial to the leaker,” he told BBC radio.

Nigel Farage, leader of the Brexit Party and long a thorn in the side of British governments, said figures such as Darroch would be “not be around” if Johnson, the favorite to replace May, was selected by Conservative Party members.

However, former British foreign minister William Hague said Darroch should not be removed from his post, pointing out that no U.S. diplomats had been withdrawn from their roles after the mass release of secret U.S. cables by WikiLeaks in 2010 which included highly critical appraisals of world leaders.

“You can’t change an ambassador at the demand of a host country. It is their job to give an honest assessment of what is happening in that country,” Hague told BBC radio.

May’s spokesman said police would be involved if there was evidence that the leaker had committed a crime.

Two months ago, May fired defense minister Gavin Williamson after secret discussions in the National Security Council about Chinese telecoms firm Huawei were leaked to the media, and an inquiry concluded that he was responsible.

Williamson denied any involvement and police said there was no reason for a criminal investigation.

(Additional reporting by Andrew MacAskill, Kate Holton and Doina Chiacu; Editing by Kevin Liffey and Jon Boyle)

Iran to boost uranium enrichment level above nuclear pact’s limit

Iranian President Hassan Rouhani is seen during meeting with health ministry top officials in Tehran, Iran, June 25, 2019. Official President website/Handout via REUTERS

By Babak Dehghanpisheh

GENEVA (Reuters) – Iran will boost its uranium enrichment after July 7 to whatever levels it needs beyond the cap set in the landmark 2015 nuclear deal, President Hassan Rouhani said on Wednesday, while calling on Washington to rejoin the pact.

Iran announced this week it has stockpiled more low-enriched uranium than is permitted under the accord, a move that prompted U.S. President Donald Trump – who withdrew the United States from the deal last year – to warn Iran was “playing with fire”.

European co-signatories said on Tuesday they were “extremely concerned” by Tehran’s apparent breach of the deal while Israel said it was preparing for possible involvement in any military confrontation between Iran and the United States.

Weeks of tensions crested last month when Tehran shot down a U.S. military surveillance drone and Trump responded with a decision to launch air strikes only to call them off at the last minute. Washington also accused Iran of being behind attacks on several oil tankers in the Gulf, which Tehran denies.

“Our level of enrichment will no longer be 3.67. We will put this commitment aside by whatever amount we feel like, by whatever amount is our necessity, our need. We will take this above 3.67,” said Rouhani, according to IRIB news agency.

Uranium refined to a fissile purity of 3.67% is deemed suitable for electricity generation and is the maximum allowed by the deal. Enrichment to 90% yields bomb-grade material.

Rouhani added that the Islamic Republic’s actions were reversible. “All of our actions can be returned to the previous condition within one hour, why are you worried?” he said.

His tone was unusually tough. Rouhani was the architect of the nuclear pact and is seen as a pragmatist, unlike senior clerics in Iran’s ruling elite who opposed his opening to the West and have kept up their denunciations of the United States.

Rouhani further urged the Trump administration to “adopt a rational approach again” and return to the negotiating table.

Trump’s “maximum pressure” policy aims to push Iran into negotiate a wider-ranging deal also reining in its ballistic missile program and its backing of proxies around the Middle East in a struggle with Saudi Arabia for regional dominance.

HEAVY-WATER REACTOR

Rouhani said that if the other signatories did not protect trade with Iran promised under the deal but blocked by Trump’s reimposition of tough sanctions, Tehran would also start to revive its Arak heavy-water reactor after July 7.

As required by the accord, Iran said in January 2016 that it had removed the core of the reactor and filled it with cement.

“From (July 7) onward with the Arak reactor, if you don’t operate (according to) the program and time frame of all the commitments you’ve given us, we will return the Arak reactor to its previous condition,” said Rouhani.

“Meaning, the condition that you say is dangerous and can produce plutonium,” he said, referring to a key potential component of a nuclear bomb. “We will return to that unless you take action regarding all your commitments regarding Arak.”

He kept the door open to negotiations, saying Iran would again reduce its stockpile of enriched uranium below the 300-kilogram limit set by the nuclear pact if signatories Britain, France, Germany, Russia and China honored their deal pledges.

Iran will gain nothing by departing from the terms of the deal, the French foreign ministry cautioned on Wednesday.

“Putting (the deal) into question will only increase the already heightened tensions in the region,” ministry spokesman Agnes von der Muhll told reporters in a daily briefing.

U.S. SANCTIONS NOOSE

Tensions between Washington and Tehran have escalated since Trump pulled Washington out of the pact in May 2018 and acted to bar all international sales of Iranian oil, the Islamic Republic’s economic lifeblood.

The European signatories to the accord have sought to pull the two longstanding adversaries back from the verge of military conflict, fearing a mistake could spiral into a wider Middle East war endangering global security and energy supplies.

Iranian Foreign Minister Mohammad Javad Zarif denies that Iran is in violation of the nuclear accord by exceeding the cap on low-enriched uranium, saying Iran is exercising its right to respond after the U.S. withdrawal.

The nuclear accord lifted most global sanctions against Iran in return for curbs on its uranium enrichment capacity.

It aimed to extend the time Tehran would need to produce a nuclear bomb, if it chose to, from roughly 2-3 months to a year.

Tehran has denied any intent to develop nuclear weapons.

Iran’s main demand – in talks with the European parties to the deal and as a precondition to any talks with the United States – is to be allowed to sell its oil at the levels that prevailed before Trump left the deal and restored sanctions.

Iranian crude exports were around 300,000 barrels per day or less in late June, industry sources said, a small fraction of the more than 2.5 million bpd Iran shipped in April 2018, the month before Trump abandoned the nuclear deal.

(Additional reporting by Parisa Hafezi in Dubai, John Irish and Sudip Kar-Gupta in Paris; Writing by Michael Georgy; Editing by Mark Heinrich)

Mexico says presidential plane sale to help fund migration plan

Mexico's President Andres Manuel Lopez Obrador attends a news conference at the National Palace in Mexico City, Mexico June 10, 2019. REUTERS/Gustavo Graf

MEXICO CITY (Reuters) – Mexican President Andres Manuel Lopez Obrador said on Wednesday the sale of the former presidential jet and other aircraft from the last government would help fund efforts to curb migration under a deal struck last week with Washington.

The agreement reached on Friday averted escalating import tariffs of 5% on Mexican goods, which U.S. President Donald Trump had vowed to impose unless Mexico did more to contain migration via Central America to the United States.

In return, Mexico has agreed to toughen up its migration controls, including deploying its National Guard security force to its southern border with Guatemala.

“About how much this plan is going to cost, let me say, we have the budget,” Lopez Obrador said at his regular daily news conference. “It would come out of what we’re going to receive from the sale of the luxurious presidential plane.”

Lopez Obrador said the price tag of the Boeing 787 Dreamliner used by his predecessor Enrique Pena Nieto would start at $150 million, citing a United Nations evaluation. The plane has been on sale for several months.

As soon as he took office in December, the leftist announced plans to sell the plane, whose spacious interior includes a bedroom and is emblazoned with official government seals on the walls and flat-screen monitors.

The jet was acquired in late 2012 for $218 million. It is on sale along with 60 government planes and 70 helicopters.

Lopez Obrador has shunned the often luxurious trappings of Mexico’s wealthy elites, choosing to fly coach.

He has also rolled out a string of welfare programs for the poor and the elderly, cut salaries for top civil servants and says he is saving public money by eliminating corruption.

(Reporting by Daina Beth Solomon, editing by Hugh Bronstein and Susan Thomas)

U.S. measles cases in 2019 highest since 1992

FILE PHOTO: Centers for Disease Control and Prevention (CDC) headquarters in Atlanta, Georgia September 30, 2014. REUTERS/Tami Chappell/File Photo/File Photo

By Alex Dobuzinskis

(Reuters) – The United States recorded 971 cases of measles in the first five months of 2019, surpassing the total for any year since 1992, which was before the disease was declared eradicated in the country, federal officials said on Thursday.

The United States declared measles eradicated from the country in 2000, but officials with the U.S. Centers for Disease Control and Prevention warned on Thursday that the country risks losing its measles elimination status.

There were a total of 2,126 U.S. cases of measles in 1992, the CDC said in a statement.

The disease has spread mostly among school-age children whose parents declined to get them vaccinated.

Public health officials blame the resurgence on the spread of misinformation about vaccines. A vocal fringe of parents opposes vaccines, believing, contrary to scientific studies, that ingredients in them can cause autism.

“Measles is preventable and the way to end this outbreak is to ensure that all children and adults who can get vaccinated, do get vaccinated,” CDC Director Robert Redfield said in a statement.

“Again, I want to reassure parents that vaccines are safe, they do not cause autism,” Redfield said.

When measles was declared eradicated in the United States in 2000, it meant the virus was no longer continually present year-round although outbreaks have still happened via travelers coming from countries where measles is common.

Communities in New York City’s Brooklyn borough and Rockland County, an area of New York state about 30 miles (50 km) north of Manhattan, are dealing with measles outbreaks that have lasted nearly eight months.

Other measles cases have occurred in Oklahoma and Washington state.

Decades ago, before widespread use of the measles vaccine, about 3 million to 4 million people a year became sick with the disease in the United States with 400 to 500 deaths a year.

(Reporting by Rama Venkat in Bengaluru; Editing by Richard Chang and Diane Craft)

Millions in central U.S. brace for ‘life-threatening’ blizzards, potential floods

Floodwaters flow along a street in Pullman, Washington, U.S. in this still image taken from April 9, 2019 social media video. ELLIE STENBERG/via REUTERS

(Reuters) – A blizzard hitting the U.S. Rockies on Wednesday was forecast to move eastward over the next day, threatening to bring new flooding to the Plains states including parts of South Dakota and Missouri that are still recovering from last month’s inundation.

High spring temperatures will give way to heavy snow, gale-force winds and life-threatening conditions across a swathe of the central United States running from the Rockies to the Great Lakes, according to the National Weather Service.

“This is potentially a life-threatening storm,” Patrick Burke, a meteorologist with the NWS’s Weather Prediction Center in Maryland, said Wednesday.

A sign for shops is seen as floodwaters flow along a street in Pullman, Washington, U.S. in this still image taken from April 9, 2019 social media video. ELLIE STENBERG/via REUTERS

A sign for shops is seen as floodwaters flow along a street in Pullman, Washington, U.S. in this still image taken from April 9, 2019 social media video. ELLIE STENBERG/via REUTERS

A cyclone last month dropped heavy rains over that region, causing extensive flooding along the Missouri River and more than $3 billion in damage to property and crops in Nebraska and Iowa.

Pueblo, Colorado, hit 85 degrees Fahrenheit (30 Celsius) on Tuesday, but will drop down to 25F (minus 4C) by early Thursday. Similar temperatures are forecast in Denver.

The storm is expected to bring blinding, heavy wet snow across the region, likely downing trees and causing widespread power outages, widespread road closures and making driving treacherous, Burke said.

“It’s slow moving. It won’t push farther east until Friday,” he said.

Some areas of western Minnesota and southeast South Dakota were expected to get up to 30 inches of wet, heavy snow, the NWS said.

Two factors may limit the flooding effect, forecasters said. Thawed ground will be able to absorb more precipitation than last month’s frozen ground and a fall of heavy snow rather than rain will slow the runoff process.

Nearly 500 flights were canceled at Denver International Airport on Wednesday, about a quarter of its total schedule, according to FlightAware.com, an airline tracking website.

Airport officials said they had snow-removal crews in place.

The coming storm was expected to exacerbate flooding along the Missouri River in areas where dozens of levees were breached in March, exposing communities to future surges. The river was not expected to crest in areas of Nebraska, Iowa and Missouri until between three to five days after the storm.

The storm is expected to weaken and push off into the Great Lakes area and northern Michigan on Friday, bringing more rain and snow, the weather service said.

(Reporting by Andrew Hay in Taos, New Mexico, Rich McKay in Atlanta and Gina Cherelus in New York; Editing by Alison Williams and Susan Thomas)