News stories from Monday February 1, 1982

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

President Reagan pledged flexibility in charting the details of his proposed "new federalism" program. The White House said Mr. Reagan had assured several governors that he would weigh their opinions on ways to help some states pay for social services that would be their responsibility if Congress approved the plan. [New York Times] Democrats denounced the President at a Manhattan dinner hailing the centennial of Franklin Delano Roosevelt's birth. Former Vice President Walter Mondale and other presidential aspirants assailed Mr. Reagan as a friend of the wealthy. [New York Times] A rise in a key interest rate evoked concern among bankers. They expressed their fears after Citibank, the nation's second largest bank, raised its prime lending rate by three-quarters of a percentage point, to 16 percent. The action sent stock prices tumbling on a broad front. [New York Times] The third major winter storm buffeted the Middle West and then plodded across Pennsylvania and New York into New England. Many areas were paralyzed by snow drifts, power failures, empty business districts and icy flood waters. [New York Times] Increasing reports of violent crime have seemed more and more shocking, prompting mounting fear among Americans. However, social scientists are more inclined to view the wave of violent crime as a momentary upsurge that may already have crested, and many criminologists believe that the national trend will be downward in the next decade. [New York Times] Alfonse D'Amato was cleared by the Justice Department of any violation of federal laws in obtaining $130,000 in loans for his 1980 campaign. The department said it had closed its inquiry into the loans made to the Senator from New York. [New York Times] General Motors reported a profit of $97 million for the fourth quarter of 1981 and a profit of $333 million for the entire year, despite a continuing decline in the sale of cars and trucks. G.M. also announced a series of high-level management changes. [New York Times] Job seekers arriving in the Rockies have been cruelly disappointed by misleading reports of available jobs in the energy belt. In Salt Lake City, the number of vagrants has increased to 800, a rise of 400 percent in the last year or so. The influx has strained local welfare resources, and misdemeanors are increasing. [New York Times] The place where Aldo Moro was held before the Red Brigades executed the former Prime Minister in 1978 was pinpointed by the Italian authorities. The site, an apartment in a Rome suburb, was identified by terrorists involved in the kidnapping of Gen. James Dozier. [New York Times] Reports that a major massacre of civilians took place in a Salvadoran village in December were disputed by the Reagan administration as it announced it was about to send $55 million in emergency military aid to that country. The grant does not require congressional approval. [New York Times] Tightened security overseas has been imposed by United States intelligence-gathering officials because of the loss of sensitive documents in the 1979 seizure of the American Embassy in Teheran, according to senior intelligence officials. They said that the activities abroad were increasingly being conducted under the cover of private commercial organizations rather than official United States diplomatic missions. [New York Times] South African curbs on journalists were proposed by an official commission in Cape Town. Under the plan, the publication of any article by a journalist not licensed by a new government panel would be illegal. The commission said that such a measure was necessary to thwart a Soviet campaign seeking "the political and moral subversion of the white man." [New York Times]

Stock Market Report

Dow Jones Industrial Average: 851.69 (-19.41, -2.23%)
S&P Composite: 117.78 (-2.62, -2.18%)
Arms Index: 2.34

	Issues	Volume*
Advances	401	5.81
Declines	1,155	39.08
Unchanged	310	2.83
Total Volume		47.72

* 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 29, 1982	871.10	120.40	73.40
January 28, 1982	864.25	118.92	66.68
January 27, 1982	842.66	115.74	50.05
January 26, 1982	841.51	115.19	44.86
January 25, 1982	842.75	115.41	43.17
January 22, 1982	845.03	115.38	44.39
January 21, 1982	848.27	115.75	48.60
January 20, 1982	845.89	115.27	48.86
January 19, 1982	847.41	115.97	45.06
January 18, 1982	855.12	117.22	44.91