News stories from Wednesday August 3, 1977

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

Terrorist bombs exploded in two mid-Manhattan office buildings, killing one man and injuring seven other persons. Many telephoned bomb threats forced more than 100,000 to leave their offices. The self-styled F.A.L.N. terrorist group seeking independence for Puerto Rico took responsibility for the explosions. Mayor Beame met with F.B.I. officials who told him they had an excellent idea who were involved but had been unable to catch them in the act. [New York Times] A compromise on the air pollution bill that ended the threat of an auto industry shutdown was reached by House and Senate conferees. The existing tailpipe exhaust standards will be extended for two more years. The settlement seemed a considerable victory for Senator Edmund Muskie in heading off an attempt by supporters of the industry to win acceptance for a softer House bill. [New York Times] Uniform federal controls on strip mining were signed into law by President Carter, climaxing a 10-year struggle between the coal industry and environmentalists. Mr. Carter hailed the bill but acknowledged disappointment that the measure was weaker than previous measures vetoed by President Ford. [New York Times] President Carter has decided to give Adm. Stansfield Turner exceptional authority as Director of Central Intelligence by granting him explicit control over the entire national intelligence budget. An authoritative source said the President's aim was to centralize managerial control over the sprawling intelligence community, with the fundamental direction from him and the National Security Council. [New York Times] Some officials of the American Civil Liberties Union gave the Federal Bureau of Investigation a stream of information for about seven years in the 1950's about its activities and some of its members, according to materials from F.B.I. files. [New York Times] The Dow Jones industrial average declined 1.39 points to close at 886 under the impact of a disappointing dividend from General Motors and a prime rate increase by Morgan Guaranty. The blue-chip Dow had slumped nearly 8 points in earlier trading on the New York Stock Exchange. [New York Times] General Motors promoted a 56-year-old vice president and associate general counsel to be its general counsel, making Otis Smith the first black to assume such a position with a major corporation. [New York Times] Toyota officials in Tokyo said the company's decision to lease a 30-acre site in Port Newark, N.J., had nothing to do with recent visits by officials of the Port Authority of New York and New Jersey. What had been described as a "major breakthrough" to get an auto assembly plant for the area was called by the Toyota officials a consolidation of existing acreage with plans for modest growth. [New York Times] A Korean ring used a computer to steal up to $17 million in American food, uniforms and other supplies each year in the early 1970's, according to the former provost marshal of the Second Infantry Division stationed in South Korea. Lindsay Baird, a retired lieutenant colonel, wrote the Senate Government Operations Committee that he believed the diversion of supplies was continuing at the same or a slightly reduced rate. An Army spokesman in Washington said on Tuesday he was awaiting details of any investigations in the early 1970's from Korea. [New York Times] Reporting on the July blackout, the Federal Power Commission found Consolidated Edison ill-prepared for the emergency and slow to act. Its difficulties and the delays in restoring service were ascribed to poor planning, flaws in transmission design and inadequate protective devices. It questioned the judgment shown at the start of the emergency. [New York Times] The official Mozambique radio said an explosion in a coal mine trapped 150 black miners and triggered rioting that killed nine foreigners. The government was said to have accepted a South African offer of rescue teams to search for the entombed men. [New York Times] Israel endorsed the proposed meeting of Arab and Israeli foreign ministers in the United States next month. Officials in Jerusalem noted, however, that they expected a rejection from the Syrians if the Palestine Liberation Organization is to be excluded. In Cairo, Egypt was said to be seeking political guarantees from the United States, the Soviet Union and some other countries as part of a later peace settlement. [New York Times] Archbishop Makarios, the Greek Orthodox prelate and President of Cyprus, died at a moment when economic prospects are bright but political prospects gloomy for the Greek Cypriot community he led for 27 years. Neither the Greek nor the Turkish community has shown any real willingness to make concessions or take risks for peace after the 1974 coup that almost resulted in the death of the Archbishop and led to Turkish seizure of the northern part of the island. [New York Times] A Pravda article by the leading Soviet specialist on American affairs said Moscow was sincerely unhappy with the Carter administration's policies and that Washington should not dodge responsibility for the current chill. He said this resulted directly from anti-Soviet propaganda campaigns in the United States and also from attempts at interference in the internal affairs of the Soviet Union. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 886.00 (-1.39, -0.16%)
S&P Composite: 98.37 (-0.13, -0.13%)
Arms Index: 0.84

	Issues	Volume*
Advances	486	6.62
Declines	909	10.39
Unchanged	483	4.16
Total Volume		21.17

* 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 2, 1977	887.39	98.50	17.91
August 1, 1977	891.81	99.12	17.92
July 29, 1977	890.07	98.85	20.35
July 28, 1977	889.99	98.79	26.34
July 27, 1977	888.43	98.64	26.44
July 26, 1977	908.18	100.27	21.39
July 25, 1977	914.24	100.85	20.43
July 22, 1977	923.42	101.59	23.11
July 21, 1977	921.78	101.59	26.88
July 20, 1977	920.48	101.73	29.38