The European Medicines Agency has authorised Johnson & Johnson's Janssen single-shot coronavirus vaccine for the EU. AFP
The European Medicines Agency has authorised Johnson & Johnson's Janssen single-shot coronavirus vaccine for the EU. AFP
The European Medicines Agency has authorised Johnson & Johnson's Janssen single-shot coronavirus vaccine for the EU. AFP
The European Medicines Agency has authorised Johnson & Johnson's Janssen single-shot coronavirus vaccine for the EU. AFP

Johnson & Johnson Covid-19 vaccine gets go-ahead in Europe


Paul Carey
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Johnson & Johnson’s single dose Covid-19 vaccine was given conditional approval by the EU's drugs regulator on Thursday.

It will help to bolster Europe’s stuttering inoculation campaign and boost its supplies of vaccines.

Announcing its decision, the EU medicines regulator said it was recommending the vaccine be authorised "after a thorough evaluation" of J&J data found it met the criteria for efficacy, safety and quality.

“With this latest positive opinion, authorities across the European Union will have another option to combat the pandemic and protect the lives and health of their citizens,” said Emer Cooke, executive director of the European Medicines Agency.

"This is the first vaccine that can be used as a single dose."

The Covid-19 shot, which the EMA said was about 67 per cent effective, is the fourth to be endorsed for use in the EU after vaccines from Pfizer-BioNTech, AstraZeneca-Oxford University and Moderna, and is recommended for those over 18 years of age, the EMA said.

The US, Canada and Bahrain also approved the shot. South Africa is carrying out an expedited review.

EU conditional marketing authorisation allows a treatment to be sold for a year without full data on its efficacy and side effects being available.

The region is having difficulty controlling a surge in cases driven by more contagious variants of the coronavirus, with countries including Italy and France imposing new lockdowns.

The EU struggled to quickly distribute doses and immunise its most vulnerable citizens. It ranks far behind countries such as Israel, Britain, Chile and the US.

The Johnson & Johnson decision came on the day health authorities in Denmark and Norway temporarily suspended the use of AstraZeneca's Covid-19 vaccine shots after reports of the formation of blood clots in some who had been vaccinated.

Austria stopped using a batch of AstraZeneca shots while investigating a death from coagulation disorders and an illness from a pulmonary embolism.

Danish health authorities said the country's decision to suspend the shots for two weeks came after a 60-year-old woman in Denmark, who was given an AstraZeneca shot from the same batch that was used in Austria, suffered a blood clot and died.

Danish authorities said they had responded "to reports of possible serious side effects, both from Denmark and other European countries".

"It is currently not possible to conclude whether there is a link. We are acting early, it needs to be thoroughly investigated," Health Minister Magnus Heunicke said on Twitter.

"This is a cautionary decision," said Geir Bukholm, director of infection prevention and control at the Norwegian Institute of Public Health (FHI).

Norway's FHI did not say how long the suspension would last.

Also on Thursday, Italy said it would suspend use of the AstraZeneca batch that was used in Austria.

Some health experts said there was little evidence to suggest the AstraZeneca vaccine should not be administered and that the cases of blood clots corresponded with the rate of such cases in the general population.

"This is a super-cautious approach based on some isolated reports in Europe," said Stephen Evans, professor of pharmacoepidemiology at the London School of Hygiene & Tropical Medicine.

Europe recorded a million new Covid-19 cases last week, an increase of 9 per cent 9from the previous week and a reversal that ended a six-week decline in new infections.

Four reasons global stock markets are falling right now

There are many factors worrying investors right now and triggering a rush out of stock markets. Here are four of the biggest:

1. Rising US interest rates

The US Federal Reserve has increased interest rates three times this year in a bid to prevent its buoyant economy from overheating. They now stand at between 2 and 2.25 per cent and markets are pencilling in three more rises next year.

Kim Catechis, manager of the Legg Mason Martin Currie Global Emerging Markets Fund, says US inflation is rising and the Fed will continue to raise rates in 2019. “With inflationary pressures growing, an increasing number of corporates are guiding profitability expectations downwards for 2018 and 2019, citing the negative impact of rising costs.”

At the same time as rates are rising, central bankers in the US and Europe have been ending quantitative easing, bringing the era of cheap money to an end.

2. Stronger dollar

High US rates have driven up the value of the dollar and bond yields, and this is putting pressure on emerging market countries that took advantage of low interest rates to run up trillions in dollar-denominated debt. They have also suffered capital outflows as international investors have switched to the US, driving markets lower. Omar Negyal, portfolio manager of the JP Morgan Global Emerging Markets Income Trust, says this looks like a buying opportunity. “Despite short-term volatility we remain positive about long-term prospects and profitability for emerging markets.” 

3. Global trade war

Ritu Vohora, investment director at fund manager M&G, says markets fear that US President Donald Trump’s spat with China will escalate into a full-blown global trade war, with both sides suffering. “The US economy is robust enough to absorb higher input costs now, but this may not be the case as tariffs escalate. However, with a host of factors hitting investor sentiment, this is becoming a stock picker’s market.”

4. Eurozone uncertainty

Europe faces two challenges right now in the shape of Brexit and the new populist government in eurozone member Italy.

Chris Beauchamp, chief market analyst at IG, which has offices in Dubai, says the stand-off between between Rome and Brussels threatens to become much more serious. "As with Brexit, neither side appears willing to step back from the edge, threatening more trouble down the line.”

The European economy may also be slowing, Mr Beauchamp warns. “A four-year low in eurozone manufacturing confidence highlights the fact that producers see a bumpy road ahead, with US-EU trade talks remaining a major question-mark for exporters.”