News stories from Monday November 1, 1971

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

The Senate is considering stopgap foreign aid funding; the Senate Foreign Relations Committee decided that some form of aid is needed. Secretary of State William Rogers will give the Nixon administration's view on Wednesday. Congress, by resolution, will allow the old form of aid to continue for several months. A new plan may avoid direct military aid, though military aid will continue to be given to key countries. [CBS] President Nixon met with Defense Secretary Melvin Laird and adviser Henry Kissinger to discuss ways of continuing military aid by pressuring Congress; they feel that U.S. pullout from Vietnam and Korea could be slowed by eliminating military aid, and relations with the Soviet Union and China could be harmed. Laird said that any action taken by the Senate is not final, and he will tell South Vietnam that. [CBS] A economist said that one cause for the stock market decline is a prediction by Eliot Janeway in the New York Times that the Dow Jones index will fall to below 500 next year. [CBS] Arthur Burns, chairman of the Federal Reserve, disagrees with House Banking Committee chairman Wright Patman on how to reduce interest costs on consumer loans and home mortgages. Patman is calling for mandatory controls; Burns hopes that voluntary measures will do the job. [CBS] The House rejected a bill to fund desegregation. The bill would give $1.5 billion to help school districts desegregate; some members of Congress see it as helping busing. The bill lost by a vote of 222-135. Rep. Roman Pucinski said that the bill doesn't require busing, courts do. Pucinski vowed that he and others will bring the bill back on Wednesday with an anti-busing amendment attached. [CBS] The Senate passed a bill to give $1 billion and 40 million acres of land as compensation for native Alaskans. The money will be spread over 12 years. [CBS] A judge in Washington, DC refused to stop the upcoming Amchitka Island, Alaska, nuclear test. The judge ruled that environmentalists did not prove their case against the government. [CBS] The Nixon administration accused the American Bar Association screening committee of leaking the names of six possible Supreme Court nominees. The ABA accused the administration of leaking its finding that two of the six weren't qualified. The ABA telephoned that information to Attorney General John Mitchell; it was leaked afterwards. [CBS] A report on the Mississippi Governor's race: Democrat attorney William Waller is being opposed by Fayette Mayor and ex-NAACP field secretary Charles Evers, who is running as an independent; no Republican candidate is running. Waller objects to Evers' candidacy and claims that Evers is polarizing the races. Evers says that his campaign is bringing the races together and declared that he won't be controlled by any party machine. The establishment is siding with Waller. Evers won't win but he is showing that a black politician can be a statewide force. [CBS] American troop strength in Vietnam has been decreased by another 5,300.Two members of the "Women's Strike for Peace" group returned from Hanoi, where they were not allowed to see American POWs. North Vietnam said that they have given POWs copies of the Pentagon Papers. [CBS] A judge in Virginia has ordered prison reforms, banning policies such as the chaining of convicts, censoring mail, and bread and water diets. Governor Linwood Holton and prison representatives said that most of those practices were banned long ago. [CBS] Democracy occurs within the walls of the Washington State Penitentiary at Walla Walla. Warden B.J. Rhay is trying to form a partnership in the administration of the prison, and he believes it will work. 1,200 inmates have new freedoms. They can wear anything, have long hair, write uncensored letters and express any opinion. Inmates and staff meet daily to discuss rules. An 11-man inmate council makes the rules, but the warden has the final decision. Younger inmates feel it's an establishment trick; older guards don't like sharing power. Money is still needed to continue the reform. [CBS] Quinn Tamm, the executive director of the International Association of Chiefs of Police, told a Senate committee that homeowners who buy handguns for protection would be better off armed with a brick. He claimed that more homeowners than intruders are killed by homeowners' guns. [CBS] Two bombings in Belfast, Northern Ireland, wounded 12 people. Civilians and British soldiers fought in the streets; two detectives were killed. [CBS] There were two bombings in London, and warnings about bombing Parliament; Scotland Yard has tightened security. Queen Elizabeth opens Parliament on Tuesday. [CBS] It is being estimated that 3,000 people are dead from a cyclone and tidal wave in India; 4 million are homeless along the Bay of Bengal. [CBS]

Stock Market Report

Dow Jones Industrial Average: 825.86 (-13.14, -1.57%)
S&P Composite: 92.80 (-1.43, -1.52%)
Arms Index: 2.12

	Issues	Volume*
Advances	291	1.08
Declines	1,148	9.05
Unchanged	247	0.84
Total Volume		10.97

* 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*
October 29, 1971	839.00	94.23	11.71
October 28, 1971	837.62	93.96	15.53
October 27, 1971	836.38	93.79	13.48
October 26, 1971	845.36	94.74	13.39
October 25, 1971	848.50	95.10	7.34
October 22, 1971	852.37	95.51	14.56
October 21, 1971	854.05	95.60	14.99
October 20, 1971	855.65	95.65	16.34
October 19, 1971	868.43	97.00	13.04
October 18, 1971	872.44	97.35	10.42