News stories from Wednesday July 7, 1971

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

North Vietnamese official Le Duc Tho stated that the return of American POWs is not necessarily tied to a political settlement in South Vietnam. U.S. peace negotiator David Bruce will ask for a clarification of the Communist proposal tomorrow. [CBS] Hanoi knew by 1967 that domestic and world opinion would prevent America from increasing pressure on North Vietnam. North Vietnam could survive a certain level of bombing, while U.S. disaffection would continue to increase until it reached a level where troops would be forced to withdraw. These assumptions appear to be the basis for the latest North Vietnamese peace proposal. [CBS] Typhoon Harriet continued to halt fighting in parts of Vietnam. [CBS] Attorney General John Mitchell, Welfare Secretary Elliot Richardson and Deputy Defense Secretary David Packard testified before a Senate committee concerning the creation of a single federal drug agency. [CBS] The Senate voted to create a new cancer research agency; the House passed an anti-pornography bill. [CBS] It was announced that the Head Start program will start charging fees based on family income. [CBS] The federal government reported that less than 1% of welfare recipients were suspected of cheating last year. [CBS] Two junior high school security guards were found shot to death in Wilmington, North Carolina. [CBS] Arab rockets hit a hospital and a school yard in a suburb of Tel Aviv, Israel; two people were killed, 19 wounded. [CBS] Cuba released 14 Americans; the U.S. released four Cuban fishermen. The State Department insists that no deal was involved. [CBS] Presidential adviser Henry Kissinger met today with Indian Prime Minister Indira Gandhi. India objects to U.S. arms shipments to Pakistan. [CBS] British Prime Minister Edward Heath has begun a campaign to convince his country to join the European Common Market. [CBS] One soldier at Fort Lewis, Washington, who participated last week in handing out copies of the Declaration of Independence, was given extra duties as punishment for distributing literature on the base without permission. [CBS] The U.S. parole board will hear James Hoffa's appeal on August 20. [CBS] The United Steel Workers and nine steel companies are beginning contract negotiations. [CBS] Senator Mike Mansfield called for a conference of congressional and administration leaders to try to solve economic problems. Mansfield said that he hopes Republicans and Democrats can forget politics and do something for the common good. [CBS] Transportation Secretary Volpe told the American Bar Association that the Nixon administration is urging states to adopt no-fault insurance. [CBS] Ralph Nader and Common Cause are bringing a suit against the Nixon administration for granting business tax breaks which allow 20% faster equipment depreciation; the suit charges that the administration doesn't have the authority to grant tax breaks. [CBS] Blacks who played baseball before blacks were allowed in the major leagues, and were then voted into Hall of Fame, won't be separated into a special section reserved for members of the old Negro leagues. [CBS] Some youths are turning to an unorthodox religion; former dropouts, drug addicts, and hippies are becoming "Jesus people". Singer Pat Boone noted that Peter told people to repent and be baptized. Boone says that he was forced to leave the Christian church because of his belief in supernatural occurrences in modern life. The Jesus people represent a challenge to the traditional church. [CBS]

Stock Market Report

Dow Jones Industrial Average: 895.88 (+3.58, +0.40%)
S&P Composite: 100.04 (+0.28, +0.28%)
Arms Index: 0.85

	Issues	Volume*
Advances	835	8.46
Declines	526	4.52
Unchanged	323	1.55
Total Volume		14.53

* 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*
July 6, 1971	892.30	99.76	10.44
July 2, 1971	890.19	99.78	9.96
July 1, 1971	893.03	99.78	13.09
June 30, 1971	891.14	99.70	15.41
June 29, 1971	882.30	98.82	14.46
June 28, 1971	873.10	97.74	9.81
June 25, 1971	876.68	97.99	10.58
June 24, 1971	877.26	98.17	11.36
June 23, 1971	879.45	98.41	12.64
June 22, 1971	874.42	97.59	15.20