News stories from Thursday October 25, 1979
Summaries of the stories the major media outlets considered to be of particular importance on this date:
- A big tax on "windfall" oil profits was called for again by President Carter after the Senate Finance Committee completed action on its version of Mr. Carter's plan. It would provide less than half the amount that would be raised by a House bill passed last summer. Also, a home heating aid program for the poor, aged and disabled advanced as the House, voting 290 to 105, approved an outlay of $1.35 billion over eight months. [New York Times]
- Abolition of the home fuel sales tax in New York state nearly a year from now was approved by the state Assembly. The measure was passed earlier this year by the state Senate and is expected to be signed reluctantly by Governor Carey. [New York Times]
- A huge error in calculating money supply was made, the Federal Reserve Board acknowledged. A spokesman for the Federal Reserve Bank of New York attributed the $3.7 billion error to a reporting mistake made by a major bank in the weeks ended Oct. 3 and Oct. 10. The mistake created new turmoil in unsettled money markets and, according to dealers, caused large losses for some financial institutions. [New York Times]
- Chrysler was buoyed as the corporation reached a tentative accord with the United Automobile Workers on a three-year contract that would save the ailing auto maker about $203 million in the next two years compared with provisions of other contracts In the industry. Also, in an unusual move, Chrysler said that Douglas Fraser, president of the union, would be nominated for election to the company's board of directors at next May's annual meeting. [New York Times]
- A record price for a U.S. painting at public sale -- $2.5 million -- was set by "Icebergs," a long-lost masterpiece by Frederic Edwin Church, the 19th-century landscape painter. The work, which had hung unidentified for years in a home for delinquent boys in Manchester, England, was bought in heated telephone bidding by an unidentified American collector. [New York Times]
- A commuter airline was grounded by the Federal Aviation Administration pending compliance with the agency's safety rules. The action, effective at once, resulted from "deficiencies" the agency said had been found in an inquiry into the operations of Puerto Rico International Airlines (Prinair), the world's largest commuter carrier. The inquiry was ordered after a Prinair plane crashed, killing eight of the 21 persons on board. [New York Times]
- The Shah of Iran has advanced cancer of a different and more aggressive type than the one for which he was first treated six years ago, his doctors said in New York. The chief physician said that the deposed monarch had a more serious lymph node cancer and that "some potential for cure exists" with toxic drugs that often have unpleasant side effects [New York Times]
- Michele Sindona was held briefly after his lawyer told a federal judge that it might be impossible for the Italian financier to obtain the signatures of relatives as further guarantees for his $3 million bail bond. But then the lawyer informed the judge that the new requirement would be met by Mr. Sindona, who was released in advance of his trial on bank fraud charges. [New York Times]
- President Carter visited New Jersey, conferring with Democratic officials, appearing at two party fundraising events and giving two transportation grants to the state. [New York Times]
- Seven women athletes were banned from international competition until further notice because of tests that showed the use of anabolic steroids last summer, the International Amateur Athletic Federation announced. The seven Eastern European track and field athletes include the year's three fastest 1,800-meter runners. [New York Times]
- Signs of a low-yield nuclear blast that may have occurred last month in a region around South Africa have been detected, the United States said. Administration officials said that efforts were being pressed to determine if South Africa had secretly joined the countries that have detonated atomic devices. A South African cabinet minister denied any knowledge of such an explosion. [New York Times]
- The arms treaty gained impetus as the Senate Foreign Relations Committee defeated additional amendments regarded as potentially fatal to Soviet ratification of the pact. The Senate majority leader, Robert Byrd, endorsed the treaty and said he had obtained a pledge from President Carter that Washington would proceed with a new mobile missile. [New York Times]
- A $20 billion rise in military spending is in the last stages of being prepared by the Carter administration in response to pressure in the Senate for increasing the Pentagon's budget, according to government officials. They predicted that the administration would seek an appropriation of about $155 billion for the next fiscal year. [New York Times]
- A Soviet warning on NATO missiles was directed to Western European countries. Moscow said it would take "appropriate measures" if new medium-range American nuclear missiles were deployed in Western Europe, a step the United States wants its allies to take by December. [New York Times]
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Stock Market Report
Dow Jones Industrial Average: 808.46 (+0.10, +0.01%)
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 24, 1979 | 808.36 | 100.44 | 31.48 |
| October 23, 1979 | 806.83 | 100.28 | 32.91 |
| October 22, 1979 | 809.13 | 100.71 | 45.24 |
| October 19, 1979 | 814.68 | 101.60 | 42.43 |
| October 18, 1979 | 830.12 | 103.61 | 29.59 |
| October 17, 1979 | 830.72 | 103.39 | 29.66 |
| October 16, 1979 | 829.52 | 103.19 | 33.76 |
| October 15, 1979 | 831.06 | 103.36 | 34.85 |
| October 12, 1979 | 838.99 | 104.49 | 36.39 |
| October 11, 1979 | 844.62 | 105.05 | 47.55 |