News stories from Thursday August 13, 1981

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

No immediate boycotts or other actions to support striking air traffic controllers in the United States will be undertaken by the 61-nation international controllers' organization. But it appealed to President Reagan to re-open talks to end the strike. The appeal, which was made at an emergency meeting of the group's executive board in Amsterdam, was immediately rejected by the administration. Later, the President reiterated his refusal to grant pardons or amnesty to the fired controllers. Meanwhile, air travel across the North Atlantic, which had been thrown into chaos earlier in the week, returned to almost normal. [New York Times] A cooling-off period and an immediate resumption of negotiations in the air traffic controllers' strike were called for in an emergency meeting of the executive board of the International Federation of Air Traffic Controllers' Organizations in Amsterdam. [New York Times] A historic tax and budget package was signed into law by President Reagan, but he acknowledged for the first time the possibility of future budget deficits even wider than projected because of changes made by Congress. [New York Times] More and better long-range bombers, intercontinental ballistics missiles and Trident submarines with more accurate missiles would be built under a comprehensive plan to expand the nation's strategic nuclear deterrent system that Secretary of Defense Caspar Weinberger has prepared for President Reagan. [New York Times] Richard Nixon paid an official of the Pentagon $144,000 last year to drop a lawsuit seeking damages from him and three White House aides for forcing the official's dismissal, according to papers filed with the United States Supreme Court. [New York Times] Three former members of Congress were given three-year prison terms in the first sentencing of defendants convicted in the federal government's Abscam investigation into political corruption. Sentenced were John Murphy of Staten Island and Michael Myers and Raymond Lederer, both of Philadelphia. Angelo Errichetti, a former mayor of Camden, N.J., was sentenced to six years, and Phildephia city councilman Louis Johanson received a three-year term. Thomas Puccio, the chief prosecutor, said that Mr. Errichetti would have to serve two years before he could be considered for parole and that the others were not likely to be considered for parole until they had each served 14 months. [New York Times] A number of endangered species may have a better chance of survival as a result of the birth last week at the Bronx Zoo of a baby gaur, a wild ox native to India that was born to a Holstein dairy cow. The birth was the result of the first successful use of a domestic animal as a surrogate mother for a completely different and endangered wild species. [New York Times] A Middle East free of atomic arms is being sought by the United States after Israel's bombing of Iraq's nuclear reactor, said Eugene Rostow, the new director of the Arms Control and Disarmament Agency. He said preliminary talks had been started both with nations in the Middle East and with other key powers on the possibility of such a treaty. [New York Times] President Reagan defended his decision to produce neutron weapons and asserted that the device was defensive in nature and would not be deployed in Europe without consulting with America's allies. [New York Times] Continuing flows of refugees and greater numbers of refugees fleeing Indochina may be in the offing and the United States should be prepared, a State Department panel said. [New York Times] The increasing violence in Guatemala has put Mexico's exile tradition and foreign policy in conflict with domestic political concerns. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 944.35 (-0.86, -0.09%)
S&P Composite: 133.51 (+0.11, +0.08%)
Arms Index: 0.64

	Issues	Volume*
Advances	701	22.35
Declines	715	14.70
Unchanged	458	5.41
Total Volume		42.46

* 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*
August 12, 1981	945.21	133.40	53.65
August 11, 1981	949.30	133.85	52.59
August 10, 1981	943.68	132.54	38.37
August 7, 1981	942.54	131.75	38.38
August 6, 1981	952.91	132.64	52.07
August 5, 1981	953.58	132.67	54.27
August 4, 1981	945.97	131.18	39.47
August 3, 1981	946.25	130.48	39.65
July 31, 1981	952.34	130.92	43.47
July 30, 1981	945.11	130.01	41.55