News stories from Friday January 29, 1971

Summaries of the stories the major media outlets considered to be of particular importance on this date:

Secretary of State Rogers stated that the United States will use air power anywhere in Indochina, and he hinted at possible new attacks against the enemy. Rogers noted that the Communists are building up supplies in the panhandle of Laos; an attack in southern Laos appears to be close at hand. Rogers also said that the U.S. will continue to take steps, within the limits of legal restrictions, to prevent enemy buildups, and he declared that the use of air power will not lead to a commitment to a Cambodian land war. [CBS] Secretary of State Rogers indicated that there is a growing awareness among Arabs and Israelis of the need for a solution to Middle East conflict through negotiations. The armies of Egypt, Jordan and Syria are on full alert. Egypt will not go along with extending the current truce unless Israel withdraws from occupied territory. [CBS] President Nixon unveiled his "full employment" budget. He proposes spending $229.2 billion with an expected $11.6 billion deficit. 42% of the budget is to be spent for human resources and 34% for defense; the defense amount is up $1.5 billion from last year. The budget is based on optimistic expectations for employment and inflation. House Appropriations Committee member George Mahon was critical of the budget but Senator William Proxmire praised the President's adoption of the "full employment" concept. [CBS] The Bureau of Labor Statistics reported that the cost of living in 1970 was up 5.5%, the second highest rise in the last 20 years. [CBS] At Cape Kennedy, Florida, the countdown, astronauts, and weather are perfect for Sunday's launch of Apollo 14. Astronaut Wally Schirra said that everything must be exact because the lunar terrain will be rougher than what Apollo 11 or 12 had to deal with.The President's new budget cuts the space program by $217 million. [CBS] The Federal Bureau of Mines urged the Justice Department to prosecute the owners of the Hyden, Kentucky, coal mine where 38 men were killed in an explosion. [CBS] Four Mt. Washington, New Hampshire, climbers who had been missing since Tuesday were found alive and in good condition. [CBS] The Army dropped charges against Gen. Samuel Koster regarding the My Lai incident. [CBS] New Senate Democrat whip Robert Byrd stated that Senator Edmund Muskie is the Democratic presidential front-runner; he didn't mention George McGovern or Edward Kennedy. [CBS]

Stock Market Report

Dow Jones Industrial Average: 868.50 (+3.36, +0.39%)
S&P Composite: 95.88 (+0.67, +0.70%)
Arms Index: 1.10

	Issues	Volume*
Advances	938	11.88
Declines	468	6.52
Unchanged	272	2.56
Total Volume		20.96

* in millions of shares

Arms Index is the ratio of volume per declining issue to volume per advancing issue; a figure below 1.0 is bullish.

Market Index Trends
Date	DJIA	S&P	Volume*
January 28, 1971	865.14	95.21	18.84
January 27, 1971	860.83	94.89	20.64
January 26, 1971	866.79	95.59	21.38
January 25, 1971	865.62	95.28	19.05
January 22, 1971	861.31	94.88	21.68
January 21, 1971	854.74	94.19	19.06
January 20, 1971	849.95	93.78	18.33
January 19, 1971	849.47	93.76	15.80
January 18, 1971	847.82	93.41	15.40
January 15, 1971	845.70	93.03	18.01