News stories from Wednesday May 14, 1975

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

The White House announced that marines had recaptured by force the American merchant vessel Mayaguez which had been seized by Cambodian gunboats. The Pentagon said about all of the 39 crew members had been picked up. Marines also stormed the shore of the nearby island. An airfield of the Cambodian mainland was bombed by carrier-based planes. President Ford, who ordered the operation after the failure of diplomatic initiatives, announced its results in a brief statement. [New York Times] Members of Congress generally expressed approval of President Ford's ordering of military operations off Cambodia and the Senate Foreign Relations Committee adopted a strong resolution of support acknowledging his constitutional right to conduct such operations. But some congressional leaders said he had not consulted them in advance but merely informed them of a decision already taken. [New York Times] Anti-American demonstrators in Laos ransacked United States buildings in Luang Prabang and Savannakhet. Three Americans in Savannakhet were reportedly seized and held in the home of the provincial governor. Embassy officials in Vientiane, the capital, said the evacuation of Americans scheduled to leave this year would begin at once. The American charge d'affaires protested and demanded protection for Americans. [New York Times] All 1,000 United States marines flown to U Taphao air base in Thailand were withdrawn, the Thai government announced. Preeda Wattanathabut, a minister attached to the Premier's office, said that the marines had been moved to the aircraft carrier Coral Sea in international waters. The withdrawal followed demands that the marines be removed at once from Thailand. [New York Times] The United States was trying to extricate itself from a diplomatic crisis caused by the sending of marines into Thailand for possible deployment in rescuing the Mayaguez. Officially the State Department and White House withheld comment on a Thai note demanding the immediate withdrawal of the marines. Privately they said they could probably be removed by today if they can be ferried by helicopter to the aircraft carrier Coral Sea, and there was understanding of the embarrassment to the Thais who have been adopting a more neutral policy. [New York Times] President Ford turned down New York City's plea for $1.5 billion for expenses through June 30, saying it would provide no real solution. His "Dear Abe" letter to Mayor Beame said he believed the city's requests for backing and guarantee should go to the State of New York. Treasury Secretary William Simon said the response was a signal to the city to "take the extremely difficult political actions it must to put its fiscal and financial house in order." [New York Times] Former Commerce Secretary Maurice Stans was fined $5,000 in federal court in Washington for five admitted misdemeanor violations of campaign laws as chief fundraiser in President Nixon's 1972 re-election drive. He said later that the sentence showed that the violations were unintentional, and that he had been exonerated of any improper acts in connection with Watergate. [New York Times] The House of Representatives voted 351 to 31 to authorize transportation, temporary maintenance and resettlement of South Vietnamese and Cambodian refugees and passed by voice vote a companion bill appropriating $405 million for the program. President Ford had originally asked $501 million. The Senate, in a change of signals, is expected to take up both bills and will probably do so today. [New York Times] President Sadat of Egypt, interviewed by a Lebanese weekly journal, said he would seek American financial aid to help settle Cairo's large debts to the Soviet Union. He said he would discuss this with President Ford in Salzburg. Austria, next month. Mr. Sadat has been visiting Arab countries to seek consensus before the next step in negotiations. He reiterated a challenge to the United States to state that it wanted Israel to quit areas occupied in 1967. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 858.73 (+8.60, +1.01%)
S&P Composite: 92.27 (+0.69, +0.75%)
Arms Index: 0.89

	Issues	Volume*
Advances	902	16.48
Declines	540	8.81
Unchanged	400	3.76
Total Volume		29.05

* 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*
May 13, 1975	850.13	91.58	24.95
May 12, 1975	847.47	90.61	22.41
May 9, 1975	850.13	90.53	28.44
May 8, 1975	840.50	89.56	22.98
May 7, 1975	836.44	89.08	22.25
May 6, 1975	834.72	88.64	25.41
May 5, 1975	855.60	90.08	22.37
May 2, 1975	848.48	89.22	25.21
May 1, 1975	830.96	88.10	20.66
April 30, 1975	821.34	87.30	18.06