News stories from Thursday January 8, 1976
Summaries of the stories the major media outlets considered to be of particular importance on this date:
- Chou En-lai, the Prime Minister of China since the Communists assumed power in 1949, died of cancer today in Peking. He was 78 years old. The announcement, by Hsinhua, the official press agency, said that he became ill in 1972, but had continued in his work. [New York Times]
- Nine labor leaders including Frank Fitzsimmons, the head of the Teamsters union, withdrew from President Ford's Collective Bargaining Committee in Construction after a meeting at the Labor Department. Mr. Ford "went back on his word" when he vetoed a bill that would have broadened union members' picketing rights at construction sites, Robert Georgine, one of the other nine union officials said. Their departure intensified pressure on Secretary of Labor John Dunlop to resign. Mr. Fitzsimmons, who backed the re-election of President Nixon in 1972, implied that he would not back Mr. Ford in this year's election. [New York Times]
- The first major issue of the 1976 presidential campaign appears to be Ronald Reagan's controversial proposal that funds for the federal government's social welfare programs be drastically reduced and that responsibility for them be transferred to state and local governments. It is one of the issues Mr. Reagan is most frequently asked about in his presidential campaign tour of New Hampshire. It has been scorned by liberals and conservatives. President Ford's campaign strategists are preparing a case against it. [New York Times]
- There was good news from Wall Street as the stock market continued the strong advance with which it has observed the new year. The Dow Jones industrial average rose 9.29 points, to 907.98, finishing at its highest level in 26 months. In the last five trading days the blue-chip Dow average has climbed 55½ points. Trading on the stock exchange continued heavy at 29.03 million shares. The Chase Manhattan Bank announced a quarter-point cut to 7 percent in the prime rate, responding to the recent decline in money market interest rates. The reduction was expected to spread through the nation's banking system. [New York Times]
- In an unusual move, the Securities and Exchange Commission, which usually does not announce that it is making an investigation, said that it had begun a formal inquiry into possible fraud in the sale of New York City securities. The agency said that it was making the announcement, which did not include many details, "to minimize any general adverse impact upon the securities markets that might result from disclosure of the investigation in an inaccurate or improper manner." The inquiry actually has been underway for some time. Politicians, bankers, brokers and municipal bond dealers may well be among those involved. [New York Times]
- Finance ministers from rich and poor countries reached full agreement at a meeting in Kingston, Jamaica, on a broad range of world monetary issues. Last-minute demands by less-developed countries for easier access to credit from the International Monetary Fund held up the agreement. [New York Times]
- Countries that have taken a stand against United States policies in the United Nations will get less American aid under a policy formally taken by Secretary of State Henry Kissinger. In some cases, the cutbacks involve food and other humanitarian relief. State Department officials said that Mr. Kissinger had postponed development aid to Tanzania and Guyana because they opposed United States views on Zionism and Korea, while other nations such as Malawi and Ivory Coast, which have supported the United States, will get additional aid. [New York Times]
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Stock Market Report
Dow Jones Industrial Average: 907.98 (+9.29, +1.03%)
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 7, 1976 | 898.69 | 93.95 | 33.17 |
| January 6, 1976 | 890.82 | 93.53 | 31.27 |
| January 5, 1976 | 877.83 | 92.58 | 21.96 |
| January 2, 1976 | 858.71 | 90.90 | 10.30 |
| December 31, 1975 | 852.41 | 90.19 | 16.97 |
| December 30, 1975 | 852.41 | 89.77 | 16.04 |
| December 29, 1975 | 856.66 | 90.13 | 17.07 |
| December 26, 1975 | 859.81 | 90.25 | 10.02 |
| December 24, 1975 | 851.94 | 89.46 | 11.15 |
| December 23, 1975 | 843.75 | 88.73 | 17.75 |