News stories from Thursday January 10, 1974
Summaries of the stories the major media outlets considered to be of particular importance on this date:
- William Johnson, the administration's top policy analyst dealing with the oil shortage, announced that the shortage may not be as severe as predicted, but a fuel crisis still exists. Energy czar William Simon stated that the federal government will audit the records of all the nation's refiners to get the facts regarding oil availability; Texaco released statistics on its inventories. Simon and Secretary of State Henry Kissinger held a news conference focusing on the worldwide energy crisis.
Kissinger outlined plans for a conference of oil-consuming nations and, later, oil-producing nations. If the cooperative effort fails, economic catastrophe is a real possibility. Kissinger stated that unrestricted bilateral competition would be ruinous for all countries concerned. Kissinger leaves for the Mideast tonight. Kissinger said that he hopes to transform general ideas into a concrete proposal. After a proposal exists, serious negotiations between Israel and Egypt may occur regarding troop disengagement.
[CBS] - President Nixon's call for a conference of major oil-consuming nations drew a generally favorable response, although the Common Market countries said they would have to consult before accepting the invitation to the Feb. 11 talks in Washington. Japan and West Germany both welcomed the invitation, but France is reported not enthusiastic about the conference, which is designed to prepare for talks with producing countries. [New York Times]
- Texaco became the first company to respond to mounting criticism of secrecy in the oil industry by releasing supply statistics. According to the company's figures, it had more heating oil, aviation fuel and diesel fuel on Jan. 1 than a year ago but much less crude oil. [New York Times]
- William Simon, the nation's energy chief, said that his investigators were helping the Internal Revenue Service audit the price, profit and supply records of every refinery in the nation to make sure that price increases were limited to a pass-through of higher costs. Mr. Simon said the audit would also help verify the accuracy of industry statistics on supplies. [New York Times]
- A petition has been filed with the Federal Trade Commission to force oil companies and utilities to substantiate their advertising claims regarding the energy shortage. Representative Benjamin Rosenthal said that oil companies and utilities are using commercials to rid themselves of any guilt feelings regarding the energy crisis. Senator Birch Bayh charged the companies with limiting energy supplies and causing price increases. Exxon spokesman Tryg Tonnesson defended his company's ads. Amoco spokesman Walter Pierson insisted that no evidence of false advertising exists. The FTC has made no response regarding the petition so far. [CBS]
- The Federal Energy Office reported that trains and buses will be given 100% of their diesel fuel needs. Two thousand employees of Walt Disney World were laid off before today's announcement. [CBS]
- The chairman of the joint chiefs of staff, Admiral Thomas Moorer, revealed that Russia has provided Syria with missiles capable of hitting Tel Aviv and other cities. Moorer was interviewed on "Today." [CBS]
- President Nixon has impounded $3 billion of $7 billion allocated by Congress to help communities build sewage treatment plants. The action follows presidential impoundment of $6 billion of the $11 billion allocated by Congress over the last two years to clean up waterways. [New York Times]
- The White House contention that President Nixon increased milk price supports in 1971 because of political considerations and Congressional pressure apparently contradicts a sworn statement by the Secretary of Agriculture at the time. In his affidavit, former Secretary Clifford Hardin said "statutory criteria" were the sole reasons he ordered the increase. [New York Times]
- It has now been 10 years since the Surgeon General of the Public Health Service issued a report citing cigarette smoking as a major health hazard. Over the last decade, an estimated 10 million Americans have quit smoking; but on the anniversary of the historic Surgeon General's report, cigarette sales are at an all-time high; 40% of the nation's men and 30% of its women smoke and 3,000 teenagers are picking up the habit every day. [New York Times]
- Iran has reportedly agreed to buy 30 Grumman F-14A fighter planes at a total cost of $900 million, including spare parts. The decision to accept the United States offer was good news for the 6,000 workers assigned to the project on Long Island, where Grumman is by far the largest employer. Company officials said the order would keep the project's workers busy at least until early 1977. [New York Times]
- A United Nations spokesman in Cairo said that Egyptian troops had kept United Nations observers from patrolling the cease-fire line at two points and that tension at the city of Suez had been "heightened" because of an Egyptian advance to a new troop position. The spokesman said that United Nations officers had persuaded Israeli troops not to fire on the advancing Egyptians. [New York Times]
- An Israeli military spokesman disclosed that a missile which was fired at an Egyptian plane set oil wells ablaze in the Israeli-held are of the Gulf of Suez. The amount of oil lost was not released. [CBS]
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Stock Market Report
Dow Jones Industrial Average: 823.11 (-11.68, -1.40%)
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* |
| January 9, 1974 | 834.79 | 93.42 | 18.07 |
| January 8, 1974 | 861.78 | 96.12 | 18.08 |
| January 7, 1974 | 876.85 | 98.07 | 19.07 |
| January 4, 1974 | 880.23 | 98.90 | 21.70 |
| January 3, 1974 | 880.69 | 99.80 | 24.85 |
| January 2, 1974 | 855.32 | 97.68 | 12.06 |
| December 31, 1973 | 850.86 | 97.55 | 23.47 |
| December 28, 1973 | 848.02 | 97.54 | 21.31 |
| December 27, 1973 | 851.01 | 97.74 | 22.72 |
| December 26, 1973 | 837.56 | 95.74 | 18.62 |