Governor Greg Abbott of Texas, like many other leaders across the U.S. South and West, dutifully followed the exhortations of President Donald Trump rather than the warnings of medical experts when it came to combating the coronavirus. Stay-at-home orders were lifted, businesses reopened, and precautions like masks and social distancing deemed optional at best, political at worst. Today, Abbott retreated, conceding his state is now, as was predicted, being overwhelmed by record infections, hospitalizations and intensive care unit admissions. In Florida, Governor Ron DeSantis is facing essentially the same situation. Soon, medical experts warn, the grimmest of lagging indicators is likely to start climbing in earnest, adding to the 122,000 American lives already lost. —David E. Rovella

Bloomberg is mapping the pandemic globally and across America. For the latest news, sign up for our Covid-19 podcast and daily newsletter.

Here are today’s top stories

The U.S. reported almost 37,000 new infections Wednesday, the largest one-day figure since the pandemic began. Larry Kudlow, Trump’s economic adviser, called the unprecedented infection rate, primarily in Arizona, Florida and Texas, “just a little bit.” Like other administration officials, he said the economy won’t shut down again, though that is up to governors like Abbott and DeSantis, not the White House. The Government Accountability Office also concluded in a comprehensive report that the slow response by the Trump administration to the pandemic might have worsened the outbreak in America. Meanwhile, demand in U.S. hospitals for a cheap, commonly used steroid has surged more than six-fold since U.K. research showed it reduced deaths of patients severely ill with Covid-19.

A higher-than-expected number of Americans sought unemployment benefits for a second week, signaling a slowdown in U.S. labor-market improvement. Initial jobless claims in regular state programs were 1.48 million last week. Some 20 million Americans remain out of work, and low-paid workers are being hit four times as hard as others. At the same time, the government has yet to spend much of the $2.6 trillion that Congress approved for coronavirus response. So far, only $643 billion has gone to the six largest programs, the GAO said. And $1.4 billion worth of rescue checks authorized by Congress were sent to dead people.

The Senate Judiciary Committee backed a bipartisan bill that would empower the Justice Department’s inspector general to investigate the agency on his own authority.

Presumptive Democratic presidential nominee Joe Biden assailed Trump’s three-year effort to repeal the Affordable Care Act, calling his bid to deprive Americans of health insurance during a public health catastrophe “unconscionable.”

One in four of every professionally invested U.S. dollar is tied to environmental, social and governance criteria. But the Trump administration’s latest rule change may make it harder for ESG funds to attract interest from retirement plans.

The growth shock to India’s economy from the coronavirus pandemic will trigger more weakness in the rupee, dragging it toward an unprecedented 80-per dollar level.

A Tanzanian hand-miner became an instant millionaire after selling two of the largest tanzanite gems ever discovered.

What you’ll need to know tomorrow

• A back door was allegedly embedded in Chinese tax software.
• Wirecard’s wild week ends with insolvency.
• Berkshire Hathaway is looking like just another conglomerate.
• Singapore Air may grab Emirates and Etihad traffic in India.
• Boris Johnson played Trump like a “fiddle,” John Bolton said.
• Meat producers are turning to old dairy cows.
• Businessweek:LeBron James gets $100 million to build an empire.

What you’ll want to read in Bloomberg Pursuits

Liquor Duties Pose New Threat to U.S. Bars

Bars across the U.S. have been reeling from lost business during the coronavirus lockdown. As they try to persuade customers to come back, they’re now grappling with the possibility of higher prices for top sellers like German ales and British gin. Those are among the alcoholic beverages targeted by proposed new tariffs from the Trump administration. The potential duties, which could go as high as 100%, will be finalized after a public comment period ending July 26. Drink up while you can.

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