News stories from Thursday June 29, 1972

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

Three weeks ago George McGovern won 271 delegates in California's winner-take-all primary with 44% of the vote. Hubert Humphrey got 39% of the vote; other candidates got the rest. The losers challenged the California law, demanding a proportional allocation of delegates. The Democratic convention credentials committee voted today to uphold their challenge. McGovern forces will fight the committee's ruling on the convention floor.Senator Humphrey, speaking at the National Press Club, learned of the committee's decision and noted that his chances for the Democratic presidential nomination have markedly improved. McGovern called the committee's action the rottenest political steal he's seen in his career, and stated that his opponents pulled off inside a committee room what they were unable to accomplish in an open and free election. McGovern said that he will not support the convention if it sustains such a shabby and corrupt arrangement. Humphrey's forces began organizing their new delegates for the convention, warning that they may still get thrown out in a convention floor fight over today's decision. The credentials committee took away 151 McGovern delegates, which are to be given to other candidates according to their percentage of the California vote. Therefore Humphrey picked up 106 delegates, Wallace 16, Chisholm 12, Muskie 6, Yorty 4, McCarthy 3, Jackson 2 and Lindsay 2. McGovern now has 1,225 formally committed delegates. [CBS] The Supreme Court voted 5 to 4 that the death penalty constitutes cruel and unusual punishment and is therefore unconstitutional. All four Nixon appointees voted against the decision. The court did not say that the death sentence is illegal in all conceivable cases, but banned it in 600 known cases across that the nation; inmates on many death rows rejoiced. Two of the three test cases which were overturned by the Supreme Court are from Georgia. Lucious Jackson, who was convicted of rape, was shocked and elated to learn of the decision. Georgia Lt. Governor Lester Maddox said that today's decision amounts to a license for anarchy, rape and murder.In other decisions, the Supreme Court ruled that reporters cannot withhold information about their news sources from grand juries. They ruled that an aide to Senator Mike Gravel can be compelled to testify about the senator's publication of the Pentagon Papers, and stated that the Attorney General can bar known Communists from entering the U.S. even if they are invited to lecture before reputable organizations. All four Nixon appointees voted as a conservative bloc. Democrat appointees Douglas, Brennan and Marshall were often joined by Eisenhower appointee Stewart. Justice White often decides which way the court will go. A Kennedy appointee, he is the most valuable man on the court. [CBS] President Nixon has authorized a freeze on raw food prices. Price controls will now be extended to include farm products and seafood. Fruits, vegetables, eggs and fish are placed under limited price restraints, but meat is not. The controls were placed on middlemen, not farmers; the rate of food price increases should be slowed. Cost of Living Council director Donald Rumsfeld says that the problem is one of supply and demand, for which there are no simple cures.The response from wholesalers at a produce market in Los Angeles shows confusion and apprehension. Their profits are already being squeezed between high labor and transportation costs and the public's unwillingness to pay higher prices. Produce dealer Frieda Kaplin noted the number of wholesalers and retailers who have gone out of business. Seafood prices have risen so rapidly that many restaurants are taking fish off their menus. [CBS] The Senate passed an anti-poverty bill, funding the Office of Economic Opportunity. The legal services program was retained after a lengthy debate. [CBS] South Vietnamese troops continue to fight to recapture Quang Tri province. South Vietnamese marines and paratroopers are within five miles of Quang Tri city. American air and sea power attacked enemy positions. [CBS] Two U.S. war deaths were reported for the week in Vietnam; 22 were wounded and 21 are missing. There were also 10 deaths from "non-hostile" causes. [CBS] FBI agents have arrested 28-year-old Martin McNally and charged him with the hijacking and extortion of an American Airlines jet on Saturday. Senator Howard Cannon says that the government should require all passengers to he screened by metal detecting devices. He noted that five American Airline passengers on Saturday's hijacked flight were screened, while the hijacker boarded freely with a machine gun in his briefcase. [CBS] Northwest Airlines has canceled all flights due to the threatened pilots strike. Pilots are calling the action a lockout. [CBS] Two passenger planes collided over Wisconsin and fell into Lake Winnebago. 13 people aboard were killed. [CBS] Assistant Treasury Secretary Eugene Rossides testified before the Senate Judiciary Committee that stronger gun control legislation would require a federal police force; the National Rifle Association agrees. Rossides stated that cheap handguns should be banned, however. [CBS] Ford has recalled 4 million 1970-71 cars and trucks in order to replace part of the shoulder safety belts. [CBS]

Stock Market Report

Dow Jones Industrial Average: 926.25 (-4.59, -0.49%)
S&P Composite: 106.82 (-0.20, -0.19%)
Arms Index: 0.82

	Issues	Volume*
Advances	523	5.18
Declines	835	6.78
Unchanged	367	2.65
Total Volume		14.61

* 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*
June 28, 1972	930.84	107.02	12.14
June 27, 1972	935.28	107.37	13.75
June 26, 1972	936.41	107.48	12.72
June 23, 1972	944.69	108.27	13.94
June 22, 1972	950.71	108.68	13.41
June 21, 1972	951.61	108.79	15.51
June 20, 1972	948.22	108.56	14.97
June 19, 1972	941.83	108.11	11.66
June 16, 1972	945.06	108.36	13.01
June 15, 1972	945.97	108.44	16.94